Addnode acquires Finnish company CADi

Addnode has acquired CADi Oy, Finland’s largest reseller of IT solutions for creating and processing digital models and drawings. For the split 2009/2010 12 month fiscal year, CADi had revenues of about SEK 80 M with 25 employees.

CADi Oy is Finland’s largest reseller of solutions based on the Autodesk platform and also conducts operations in the Baltic countries. The company’s offering consists of sales of software, development of work methodology and design methods, implementation, training, and support. Its customer base is broad and includes such customers as ABB, Andritz, Cargotec, Elisa, Finnair, Fortum, Kone, Pöyry, Rejlers, Sweco, Skanska and YIT. In the split 2009/2010 12 month fiscal year, CADi reported revenues of about SEK 80 M with a modest operating loss.

The acquired operations will be integrated into Addnode’s Design Management business area, which prior to the acquisition consisted of the Cad-Q companies. Following the acquisition, the business area will have 165 qualified employees in Sweden, Norway, Finland and Estonia. The solutions comprising the business area’s offering are based on Autodesk’s software platform, proprietary applications and systems and other complementary products. These services and solutions are often of mission-critical importance for customers and linked to the processes design, product development, manufacturing, technical documentation and efficient publication of drawing-related information. Customers are found primarily in manufacturing, construction, civil engineering, property management and the public sector.

“We are convinced that a leading position in selected market segments creates prerequisites for sustained profitability and growth. A leading position means that we are able to work with the most demanding customers, attract skilled employees and be an attractive partner for external platform and product owners. With the acquisition of CADi, we become the Nordic region’s largest and one of Europe’s leading suppliers of IT solutions for the creation and processing of digital models and drawings,” says Staffan Hanstorp, President and CEO of Addnode AB.

“Our customers place high demands on leading-edge expertise and quality. Through this acquisition, our ability increases to meet growing demand among customers and to be able to serve them in several geographic markets. The acquisition strengthens our expertise and capacity and means that we can offer our transnational customers solutions and a delivery organization that spans across Sweden, Norway and Finland,” says Rolf Kjaernsli, Design Management business area manager and president of Cad-Q.

“The sale of CADi is appropriate industrially for all parties, our employees, our customers and our suppliers. We become a larger Nordic organization in which we contribute expertise and knowledge of the requirements of Finnish customers. CADi’s customers will be able to take advantage of this acquisition in that they will gain access to Cad-Q’s broad portfolio of products and solutions,” says Kai Helistén, President and one of the owners of CADi.

The owners of CADi, Kai Helistén and Markku Koistinen, will remain active in operations after the acquisition.

The purchase price consists of an initial cash payment of EUR 2.0 M and a maximized conditional cash payment based on future earnings in the acquired company. The take-over date is July 2, 2010.

The information in this press release is such that Addnode must publish it in accordance with the Swedish Securities Market Act and/or the Swedish Financial Instruments Trading Act. The information was published at 11.45 a.m. on July 2, 2010.

For further information contact:

Rolf Kjaernsli, Design Management business area manager and President of Cad-Q.

Tel +46 705 67 49 97, e-mail: rolf.kjaernsli@cad-q.se

Kai Helistén, President of CADi Oy

Tel +358 400 430 893, e-mail: kai.helisten@cadi.fi

Johan Andersson, Head of Business Development and Corporate Communication,

Addnode AB. Tel: +46 704 205 831, e-mail: johan.andersson@addnode.com

Staffan Hanstorp, President and CEO, Addnode AB
Tel: +46 733 772 430, e-mail: staffan.hanstorp@addnode.com

About Addnode

Addnode is a Nordic IT Group that builds and manages IT solutions. Our solutions are based on proprietary platforms, as well as software and platforms from other well-known and market-leading suppliers. We are organized into four business areas, with separate brands such as Cad-Q, Technia, Ida Infront, Prosilia, Mogul and Cartesia. In 2009, customer projects were conducted in some 30 countries. Customers are found in both private and public sectors. Our major customers include Ericsson, the Swedish Armed Forces, Nokia, Siemens, the National Swedish Police Board, Scania, Skanska, SKF, Sony Ericsson, Sweco and Swedish Television (SVT). The Group currently has approximately 650 employees in Sweden, Finland, Norway and Serbia. In 2009, net sales amounted to SEK 989 M. Addnode’s Series B shares are listed on NASDAQ OMX Nordic Small cap. More information about Addnode is available at: www.addnode.com.