HiQ strengthens market presence in Finland - acquires Frends Technology OY
HiQ is acquiring Frends Technology, a specialised IT consulting firm in Helsinki, Finland. The company, which employees nearly 40 people, specialises in business process integration. Its clients include leading companies in the utilities sector, retail and manufacturing industry.
“ Frends Technology is a perfect match for our existing operations, complements HiQ with a new offering to all of our clients. In addition, Frends gives HiQ a broadend client base within the utilities sector, retail and manufacturing industry. Through this acquisition we are strengthening our position in Finland even more,” says HiQ President and CEO Lars Stugemo.
Frends Technology occupies a unique position in its niche areas, with a complete offering that covers the entire process, from strategy, methodology and management to execution. In 2010, Frends was awarded Country Partner of the Year by Microsoft.
“We are looking forward to growing our business together with HiQ, a company with a very strong brand and the best reputation in the Nordic consulting industry. HiQ's strong position in the Nordic region offers many opportunities to make new deals and expand our offering. We are currently a strong player in Finland, and look forward to an exciting future with HiQ, one that offers many new opportunities and exciting development in the Finnish and Nordic markets,” says Aino-Maija Fagerlund CEO of Frends Technology.
”The acquisition brings HiQ up to more than 200 people in Finland. I am looking forward to continuing to expand our Finnish offering to both new and existing clients,” adds Stugemo.
In 2009, Frends Technology had net sales of EUR 3.3 million. The acquisition price totals approximately EUR 3.5 million, including a net cash position of EUR 0.5 million. Roughly EUR 2.4 million is to be paid in cash, with the balance, approximately EUR 1.1 million, coming in the form of 290 865 newly issued HiQ shares, leading to 0.6 % share dilution. Assuming that Frends Technology reaches certain set profitability goals, an additional purchase sum amounting to EUR 0.5 million will be paid in the first half of 2011. The company will be consolidated as of mid November.
Frends Technology is expected to make a positive contribution to HiQ’s income right from the start, and thus to its earnings per share as well.
For additional information, please contact:
Lars Stugemo, President and CEO, HiQ International, tel.: +46 (0)8-588 90 000
Fredrik Malm, CFO and Head of Investor Relations, +46 (0)704-200 017, firstname.lastname@example.org
Aino-Maija Fagerlund, CEO Frends Technology, +358 40 542 57 31, email@example.com
HiQ discloses the information provided herein pursuant to the Securities Market Act and/or the Financial Instruments Trading Act. This report was submitted for publication at 08:30 CET on 5 November 2010
HiQ is an IT and management consultancy company focusing on high-tech solutions in the fields of communications, software development and simulation technology. The company is a leading player in these fields and the Nordic region is its domestic market. HiQ employs more than 1,000 people at offices in the Nordic region and Eastern Europe. HiQ is listed on the NASDAQ OMX Stockholm Mid Cap. For more information, please visit www.hiq.se