Sydney, Oct 22, 2009 (ABN Newswire) - SAI Global Limited (ASX:SAI)(PINK:SGLOF) today announced the acquisition of Cintellate Pty Ltd, a leading global provider of compliance and risk management tools that allow companies to manage their compliance obligations and risk mitigation in the areas of safety, health and the environment (SH&E).
Cintellate is head-quartered in Perth, Western Australia and has an office in Houston, USA. The company focuses predominantly on the utilities, oil, gas, refining, mining, engineering, construction, manufacturing and chemical sectors. Since its foundation in 1994 Cintellate's core technology has been developed specifically for the management of safety, health and the environment.
Commenting on the acquisition, the Chief Executive Officer of SAI Global Limited, Mr Tony Scotton, said "safety, health and the environment are attractive growth sectors and Cintellate has a proven technology solution which has seen sales continue to grow despite the recent challenging economic times". He added "SAI Global has a stated strategic intent to concentrate on acquiring assets with proprietary intellectual property that focus on providing work flow solutions to global clients so Cintellate fits perfectly with our objective. The business has grown revenue and profit strongly over the last three years".
This acquisition enhances SAI Global in two important ways by providing:
- a state of the art, market-leading suite of software tools for compliance and risk management that complements SAI's existing Safety Health and & Environment products, and
- an opportunity to leverage the Cintellate product suite into new markets using SAI's established geographic footprint and sales channels and accessing Cintellate's client base for existing SAI products.
The Chairman of Cintellate, Mr Tim Moore said "A number of Fortune Global 500 companies rely on the Cintellate solution which after 15 years of intense research and development is a world class platform. Cintellate's continued global growth prospects are now substantially enhanced by teaming up with SAI Global. Environmental stewardship and corporate sustainability will have increasing priority meaning Cintellate's innovative software and expert services will be in demand". He added "Angela McQuillan, the founder and CEO of Cintellate, has continually strived to position the business to attract the very best staff and clients and the SAI Global purchase helps ensure that goal is realised".
Consideration for the acquisition is made up of an initial payment of approximately A$14.1M (10% as SAI stock and the balance in cash from existing facilities) and a potential earn out based on the increment FY10 profits over FY09. The transaction is expected to add around A$9 million in revenue and be marginally EPS accretive over the balance of FY10.
SAI Global (ASX:SAI) is a professional services company providing value-adding, cost effective business solutions in the technical information services, GRC and assurance markets. SAI Global provides: Standards, regulatory and technical information, databases and workflow solutions; Governance, risk and compliance products and services; and Assurance services, specifically in the area of standardization and conformity assessment. For further information please visit www.saiglobal.com
Contact
Investor and Media Inquiries:
Tony Scotton Chief Executive Officer SAI Global Limited Tel: +61-2-8206-6182 Mob: +61-419-527-592 tony.scotton@saiglobal.com
Geoff Richardson Chief Financial Officer SAI Global Limited Tel: +61-2-8206-6805 Mob: +61-429-314-698 geoff.richardson@saiglobal.com
Tim Moore Chairman Cintellate Pty Ltd Mob" +61-418-924-811 tim.moore@cintellate.com
SAI Global Limited
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