AUGUST 24, 1999
Geac Strengthens Best-Of-Breed Strategy : Acquires Clarus
Financials And HR Product Lines: Geac Acquisition
Strategy Continues To Build Momentum
MARKHAM, ONTARIO--Geac Computer Corporation Limited (TSE: GAC)
announced today that its wholly-owned subsidiary, Atlanta-based
Geac Computer Systems , Inc. (SmartEnterprise Solutions Division),
has signed a definitive agreement to purchase the financial and
human resource management systems business from Clarus Corporation
(NASDAQ: CLRS), also of Atlanta, Georgia. Clarus has
approximately 300 customers across North America and is a leading
mid-market application provider with 1998 revenues in excess of
US$ 40M (CDN$ 60M).
The transaction, which is valued at approximately US $17M (CDN
$25M), is subject to regulatory and Clarus shareholder approval
and is expected to close in approximately 60 days. Geac has the
unanimous support of the Clarus board of directors and management,
who have agreed to vote in favour of this transaction.
Douglas G. Bergeron, President and CEO of Geac, said: "The
acquisition reinforces our commitment to an aggressive
consolidation strategy of successful mid-market best-of-breed
companies. This move, in combination with our existing
SmartEnterprise Solutions product lines and our intention to
acquire JBA Holdings (LSE: JBA), positions us to quickly become
one of the top software solution providers in the world. The
Clarus transaction adds a loyal installed base of customers, a
highly-rated product, and some of the industry's best regarded
employees."
Stephen Shine, General Manager of Geac's SmartEnterprise Solutions
Division commented: "Geac is already a world leader in
best-of-breed financials and HR solutions. This acquisition
further strengthens our position as we continue to enable our
customers to achieve the benefits of tight enterprise integration
with best-of-breed solutions without making the compromises
associated with 'one stop shopping' (ERP)."
"The Clarus financials and HR products enjoy a strong presence in
the US mid-market and are a perfect complement to our current
solutions for larger, global organizations," Shine added. "In
addition, Clarus' widespread success in the financial and
insurance industries will deepen Geac's already strong presence in
these markets. Now customers can choose the best HR and
financials solution to suit their vertical market, size,
technology and geographic presence by selecting one or a
combination of Geac solutions. Both the Clarus and the Geac
product lines have been proven to deliver a rapid return on
investment and will enable customers to increase their
competitiveness within their specific industries."
Geac SmartEnterprise Solutions, the largest division within the
Geac group of companies, provides mid-to large-sized enterprises
with advanced cross-platform financial, procurement, human
resources and business intelligence systems. Geac's client/server
(SmartStream) and mainframe (E Series and M series) product suites
enable organizations to streamline business processes and enhance
information access throughout their enterprises. Additional
information about Geac SmartEnterprise Solutions is available at
smartenterprise.geac.com.
Geac is a provider of mission critical software and systems
solutions to large and medium sized corporations around the world.
Geac solutions include cross-industry enterprise business
solutions, hospitality systems, property applications, publishing
systems and banking solutions. Geac also provides a wide range of
applications for libraries, public safety and network systems.
Headquartered in Markham, Canada, Geac has more than 90 offices in
16 countries and serves customers in more than 40 countries
worldwide. Geac product and service information is available on
the World Wide Web at geac.com. |
