CGI Acquires California-based CyberBranch Corporation
PALO ALTO, California, May 31 /CNW/ - CGI Group Inc. (NYSE: GIB,
TSE:GIB.A) and CyberBranch Corporation announced today that they have signed
an agreement whereby CGI has acquired CyberBranch, a subsidiary of Stanford
Federal Credit Union of Palo Alto California. CyberBranch is an Internet and
Intranet provider of leading edge technology to credit unions across North
America.
CyberBranch brings CGI a suite of leading edge Web-based technology
solutions, backed by a highly skilled team of professionals with the know-how
and expertise to develop and operate these solutions for credit unions. Of
particular interest is the Loan Navigator solution that provides instant
decisioning for all types of Internet loan applications in under a minute.
CyberBranch Corporation has been acquired for a cash consideration of
approximately US$ 1 million (CDN$1.5 million) plus future royalty
considerations.
Through this acquisition, CGI will expand its Web-enabled solutions and
build upon its Web-enabled delivery channel capabilities. The CyberBranch
expertise and solution set, including a Web-enabled core banking front end,
various Web-enabled credit union member access components, and its expertise
at delivering Web solutions in an ASP mode, accelerates CGI's implementation
of this strategy.
Warren Marshall, CyberBranch's president and CEO, added: "We are
extremely pleased about joining CGI. Our current clients and technology
partners investment in CyberBranch e-commerce solutions is preserved now and
for the future. CGI's established distribution network, combined with our
leading edge technologies and expertise, will allow us to significantly
increase our critical mass in a rapidly consolidating North American market
place. Leveraging both companies' solutions and skill sets will allow us to
present a compelling offering to our credit union clients all across Canada
and the U.S."
John R. Davis, president and CEO of Stanford Federal Credit Union said:
"The acquisition by CGI offers the Credit Union an ability to continue to work
as a technology partner with CyberBranch, while participating in the future
success of the company as it sells into an expanded, international market
place."
"We are delighted to welcome the 21 professionals of CyberBranch to CGI,"
said Gilles Godbout, senior vice-president of Credit Union Solutions and
Services, CGI. "With operations in the Silicon Valley and some 170 clients in
the credit union sector, CyberBranch enhances our already established presence
in the US credit union market. It also brings highly valuable IT solutions,
and its skilled staff will contribute to our leading edge expertise in meeting
the needs of financial services clients."
CGI provides core banking solutions to more than 350 North American
credit unions and supports approximately 2,500 ATMs, and processes more than
300 million payment transactions annually.
ABOUT CYBERBRANCH
CyberBranch was incorporated on April 1, 1997 as a subsidiary of the
Stanford Federal Credit Union of Palo Alto California. Cyberbranch, through
its affiliation with, and the research efforts of the Credit Union, have been
leaders in the development of Internet delivery technologies for the Credit
Union Marketplace. www.cyberbranch.com
ABOUT CGI
Founded in 1976, CGI is the fifth largest independent information
technology services firm in North America, based on its headcount of more than
10,000 professionals. CGI's order backlog totals approximately US$5.3 billion
(CDN$8.2 billion) and its revenue run-rate is close to US$1 billion (CDN$1.5
billion). CGI provides end-to-end IT services and business solutions to 2,500
clients in the United States, Canada and more than 20 countries around the
world. CGI's shares are listed on the NYSE (GIB), as well as on the TSE
(GIB.A). They are included in the Toronto Stock Exchange's TSE 300 index as
well as the S&P/TSE Canadian Information Technology index. Web site:
www.cgi.ca.
FORWARD-LOOKING STATEMENTS
All statements in this press release that do not directly and exclusively
relate to historical facts constitute "forward- looking statements" within the
meaning of the Private Securities Litigation Reform Act of 1995. These
statements represent CGI Group Inc.'s intentions, plans, expectations, and
beliefs, and are subject to risks, uncertainties, and other factors, of which
many are beyond the control of the Company. These factors could cause actual
results to differ materially from such forward- looking statements.
These factors include and are not restricted to the timing and size of
contracts, acquisitions and other corporate developments; the ability to
attract and retain qualified employees; market competition in the rapidly-
evolving information technology industry; general economic and business
conditions; and other risks identified in Management's Discussion and Analysis
(MD&A) in CGI Group Inc.'s annual report or Form 40F filed with the U.S.
Securities & Exchange Commission and the Company's Annual Information Form
filed with Canadian securities commissions. All of the risk factors included
in these filed documents are included here by reference. CGI disclaims any
intention or obligation to update or revise any forward-looking statements,
whether as a result of new information, future events or otherwise. |
