This deal consolidates GPP’s presence in Spain, where it predicts a turnover, including Logic Control, of some 152 million euros over a total turnover of approximately 407 million euros.
Logic Control designs, develops and distributes business, financial, workforce and human resources management software, as well as distributing and integrating hardware solutions and offering connectivity services and a calculation centre to SMEs and SOHOs. The company had a turnover of 59.4
million Euros in 1999 and obtained a positive operating result of 6 million euros.
This acquisition strengthens the high technological content services Grupo Picking Pack currently offers its customers and will enable it to offer an integral service to SMEs and SOHOs in Spain as they gradually join the New Economy. Moreover, this deal will enable Grupo Picking Pack to strengthen its
opportunity for an ASP (Application Service Provider) model that aims to provide remote computer services to SMEs and Professional Offices through Ola Internet’s IP network communications.
According to the terms of the agreement, Grupo Picking Pack shall pay 75.8 million euros for 100% of Logic Control and will integrate the company in Ola Internet, its Telecommunications and Internet division for the Spanish market. This acquisition has been approved by the Boards of Directors of both companies
and will be financed through GPP liquidity.
This is GPP’s first acquisition in Spain following its capital increase of some 112 million euros back in June. GPP’s strong balance, with a current debt capacity of over 150 million euros, will enable GPP and its subsidiaries to continue this expansion strategy.
