TORONTO, March 2 /CNW/ - Constellation Software Inc. ("Constellation") (TSX: CSU) announced today that it has completed the acquisition of PG Govern ("PG") through its wholly-owned subsidiary N. Harris Computer Corporation ("Harris").
Harris Chief Executive Officer Jeff Bender stated, "PG is a great addition to the Harris family of products. PG has tremendous market share and brand recognition in the Quebec marketplace. PG provides its customers with a robust product suite, value added service delivery, and has a solid track record in customer satisfaction. In addition, the Govern CAMA and Land Management suite of products will be a strong complement to our existing local government business suite and will generate a lot of interest from both sales prospects as well as our existing customers."
PG Founder and Chairman Thomas Gagnon commented, "This is the right move for our customers, our employees and the company. Becoming part of the Harris family provides us with access to the resources we need to continue our track record of success. I am confident that the sale marks the beginning of the next 20 years of success for PG. I have invested a lot of my life's energy into building PG and I am pleased that our group of executives will continue to build upon my vision."
"PG represents one of our larger acquisitions to date, with a total purchase price of approximately Cdn$25 million plus adjustments for audited net tangible assets delivered at close," said Barry Symons, Chief Financial Officer of Constellation. "With revenues for the year ended December 31, 2006 of approximately Cdn$16 million, we expect that PG will contribute significantly to our targeted acquisition growth in 2007."
Constellation's Vice President, Business Development Bernard Anzarouth added, "PG is Constellation's third acquisition so far in 2007 and our ninth since we went public in May, 2006. We are encouraged by our strong start to 2007 with respect to our capital allocation goals for the year."
About Harris:
Harris is a wholly-owned subsidiary of Constellation and is a leading provider of financial management and Customer Information Systems (CIS) software solutions. Since 1976, Harris has focused on providing feature-rich and robust turnkey solutions to all levels of local government, public power and water entities as well as school districts throughout North America. Harris' focus is on creating long-term relationships with our customers and ensuring that we meet the changing needs of our customers over time.
About Constellation Software Inc.:
Constellation's common shares are listed on the Toronto Stock Exchange under the symbol "CSU". Constellation Software is an international provider of market leading software and services to a number of industries across both the public and private sectors. The Company acquires, manages and builds vertical market software businesses that provide mission-critical software solutions to address the specific needs of its customers in those industries.
Forward Looking Statements
Certain statements herein may be "forward looking" statements that involve known and unknown risks, uncertainties and other factors that may cause the actual results, performance or achievements of Constellation or the industry to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. These statements reflect current assumptions and expectations regarding future events and operating performance and speak only as of the date hereof. Forward looking statements involve significant risks and uncertainties, should not be read as guarantees of future performance or results, and will not necessarily be accurate indications of whether or not such results will be achieved. A number of factors could cause actual results to vary significantly from the results discussed in the forward looking statements. These forward looking statements are made as of the date hereof and Constellation assumes no obligation to update any forward looking statements to reflect new events or circumstances.