LGS Group Inc. Announces Acquisition of Domus Software
Inc. Information Security and Quality ManagementDivisions
NEWS RELEASE TRANSMITTED BY CANADIAN CORPORATE NEWSFOR: LGS GROUP INC.
ME SYMBOL: LGS.AAUGUST 24, 1998
MONTREAL, QUEBEC--LGS Group Inc. is acquiring the information
security and quality management divisions of Domus Software Inc.
of Ottawa, one of the primary companies providing information
security services in Canada.
This transaction, an acquisition of assets at a price of $2.1
million, becomes effective on August 28, 1998, with some 50
employees of Domus Software Inc. joining the ranks of LGS Inc.
The activities acquired by LGS should generate annual sales of
over $5 million, not only in Ottawa but also in Toronto and
Vancouver, where Domus has offices.
Domus IT security services sector combined with its IT security
laboratory, Canada's only accredited facility meeting US Federal
Information Processing Standards (FIPS 140-1) for cryptographic
module validation testing, will jointly create the new LGS
Security Centre of Excellence. This Centre of Excellence will
lead the industry with its public key infrastructure solutions,
security experience and proven product assessment capabilities.
The Domus Quality Management Services group will join the Ottawa
office of LGS and continue to offer independent services in the
development and management of quality programs and ISO 9000
consulting. The Domus System Development Services group will also
join the Ottawa office of LGS and offer their specialized services
in management consulting and custom software development.
"Joining forces with LGS provides our customers with access to a
wide variety of highly specialized, complementary IT services",
said Richard Moxley, president of Domus Software. "Our mutual
corporate commitment to customer satisfaction just made the
decision to combine forces that much simpler", he went on to say.
Commenting on the transaction, LGS President Raymond Lafontaine
emphasized the timeliness of this acquisition in the field of IT
security, an essential component in a growth sector like
electronic commerce. "The extremely rapid development of
electronic commerce highlights the urgent need to ensure the
security of electronic exchanges", stated Mr. Lafontaine. For his
part, LGS senior executive vice-president Andr‚ Gauthier added
that making electronic exchanges secure would have applications in
many other sectors including the health area, particularly for the
transfer of patient files. "The acquisition of Domus will
certainly reinforce the position of LGS' Centre of Excellence in
the health field", he added.
LGS Group is one of Canada's largest information technology
consulting firms specializing in management and systems
integration. With annual sales exceeding $134 million, LGS
employs approximately 1,600 professionals in 16 offices located in
Canada and Europe. The company is active in most of the private
and public sectors. |
