Published:
CDC Software Completes Acquisition of Activplant Corporation
SHANGHAI & ATLANTA - (BUSINESS WIRE) - CDC Software Corporation (NASDAQ: CDCS), a global provider of enterprise
software applications and services, today announced the acquisition of
Activplant Corporation, a Canadian-based provider of manufacturing
business intelligence solutions, that is expected to position CDC
Factory as a market-leading solution in the packaged Manufacturing
Operations Management (MOM) solutions space.
For more than a decade, Activplant solutions have promoted continuous
improvement initiatives for the factory floor in discrete and process
manufacturing. Activplant is a market leader in providing manufacturing
business intelligence software for some of the world's leading Tier 1
automotive manufacturers, as well as food and beverage, forestry
products and CPG companies. Their software is installed at more than 200
plants around the world. Its patented business intelligence software
helps companies manage their operational performance by focusing on the
key issues in their facilities, which ultimately affect cost, quality,
and supply chain demand requirements. This acquisition is expected to
generate new cross-selling opportunities for CDC Supply Chain in the
Tier 1 automotive market, as well as expand CDC Software's manufacturing
solutions' already significant footprint in the food and beverage and
consumer packaged goods markets.
"We are excited to acquire this innovative developer of manufacturing
intelligence solutions which is an ideal fit with our CDC Factory
product line," said Bruce Cameron, president of CDC Software. "We expect
this to be an accretive acquisition and fits within our strict valuation
criteria. We believe Activplant will help CDC Software take a leadership
role in the packaged MOM applications market. It also expands CDC
Factory's already significant presence in the food and beverage and CPG
markets, as well as help CDC Supply Chain solutions penetrate further in
the Tier 1 automotive industry.
"With CDC Factory and Activplant's out-of the-box MOM functionality,
manufacturers do not have to spend costly consulting fees to customize
the software to fit their distinct business processes. With these CDC
Software solutions, manufacturers can now focus their budget on
implementing best practices and continuous improvement initiatives that
will ultimately improve their profitability," Cameron added.
"CDC Software's acquisition strategy is a key part of the company's plan
for growth and we believe our strategy is enabled by our global scalable
business and technology platform that features an infrastructure of
multiple complementary applications and services, domain expertise in
vertical markets, cost effective product engineering centers in India
and China and a worldwide network of direct sales and channel
operations. We believe our global platform is a key reason why we have
successfully integrated acquisitions that have resulted in a deeper and
broader product portfolio, expanded geographic reach, and increased
vertical expertise. "
This acquisition announcement marks the latest of several strategic
initiatives undertaken by CDC Software. Last quarter, CDC Software
completed the acquisition of WKD Solutions Ltd., a leading provider of
supply chain event management solutions marketed under the brand
Categoric. In addition, CDC Software recently announced plans to acquire
two SaaS companies as part of its SaaS rollup strategy to expand in this
growing market.
About Activplant
Activplant Corporation is a leading enterprise manufacturing
intelligence company. Activplant's solutions are implemented at several
of the world's largest and most admired manufacturers http://www.activplant.com/customers/.
Aimed at high-volume, high-automation plants, Activplant's technology
consolidates plant floor data into relevant real-time and historical
intelligence, enabling productivity gains through better decision
making. With Activplant solutions, manufacturers can focus on the key
issues in their facilities and thereby helping to improve throughput,
product quality, and operating margins. Activplant is based in London,
Ontario. For more information please visit www.activplant.com
About CDC Software
CDC Software (NASDAQ: CDCS), The Customer-Driven Company , is a provider
of enterprise software applications and services designed to help
organizations deliver a superior customer experience while increasing
efficiencies and profitability. CDC Software's product suite includes:
CDC Factory (manufacturing operations management), CDC Ross ERP
(enterprise resource planning), CDC Supply Chain (supply chain
management, warehouse management and order management),CDC X-alert
(real-time supply chain event management), e-M-POWER (discrete ERP), CDC
Pivotal CRM and Saratoga CRM (customer relationship management), CDC
Respond (customer complaint and feedback management), c360 CRM add-on
products, industry solutions and development tools for the Microsoft
Dynamics CRM platform, CDC HRM (human resources) and business analytics
solutions.
These industry-specific solutions are used by more than 6,000 customers
worldwide within the manufacturing, financial services, health care,
home building, real estate, wholesale and retail distribution
industries. The company completes its offerings with a full continuum of
services that span the life cycle of technology and software
applications, including implementation, project consulting, technical
support and IT consulting. For more information, please visit www.cdcsoftware.com.
About CDC Corporation
The CDC family of companies includes CDC Software (NASDAQ: CDCS) focused
on enterprise software applications and services, CDC Global Services
focused on IT consulting services, outsourced application development
and IT staffing, CDC Games focused on online games, and China.com
China.com, Inc. (HKGEM:8006) focused on portals for the greater China
markets. For more information about CDC Corporation (NASDAQ: CHINA),
please visit www.cdccorporation.net.
Cautionary Note Regarding Forward-Looking Statements
This press release includes "forward-looking statements" within the
meaning of the United States Private Securities Litigation Reform Act of
1995, including statements relating to our beliefs about the market and
competitive position of CDC Factory in the MOM solutions space
post-acquisition, our beliefs regarding the potential benefits of this
acquisition to our cross-selling strategy, our beliefs regarding the
utility of the Activplant software to customers both alone and together
with CDC Software's solutions, our expectations regarding the accounting
treatment of this acquisition, our expectations regarding our pursuit of
SaaS acquisitions, our beliefs regarding the expected effects and
expected benefits of the acquisition, our belief regarding the existence
and success of synergies between Activplant and CDC Software and our
ability to continue to provide solutions that help improve efficiencies
and cut costs on the plant floor, and other statements that are not
historical fact, the achievement of which involve risks, uncertainties
or assumptions. These statements are based on management's current
expectations and are subject to risks and uncertainties and changes in
circumstances. There are important factors that could cause actual
results to differ materially from those anticipated in the forward
looking statements including, among others: the conditions of the
enterprise market, the completion of the acquisition of this acquisition
on favorable terms, if at all, and the ability of CDC Software and/or
this acquisition products to address the business requirements of the
market, demand for and market acceptance of CDC Software and/or this
acquisition technology, and the ability of CDC Software to successfully
integrate this acquisition technology into the CDC Factory product line.
Further information on risks or other factors that could cause results
to differ is detailed in our filings or submissions with the United
States Securities and Exchange Commission, and those of our ultimate
parent company, CDC Corporation, located at www.sec.gov.
All forward-looking statements included in this press release are based
upon information available to management as of the date of the press
release, and you are cautioned not to place undue reliance on any
forward looking statements which speak only as of the date of this press
release. The company assumes no obligation to update or alter the
forward looking statements whether as a result of new information,
future events or otherwise. Historical results are not indicative of
future performance.
CDC Corporation
Investor Relations
Monish
Bahl, 678-259-8510
mbahl@cdcsoftware.com
or
CDC
Corporation
Media Relations
Lorretta
Gasper, 678-259-8631
lgasper@cdcsoftware.com
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