Under terms of the deal, New York-based INS will pay $19.2m in cash to acquire ailing New York-based Predictive Systems, although the final amount will be based on the total value of the company’s assets when the acquisition closes. INS will pay a significant discount on the company’s full-year 2002 revenue of $48.7m, down 28.6% on 2001. The company also trimmed its net loss to $61.9m during the year, from a net loss of $140.9m in 2001.
Following the acquisition, INS said it would have about 700 employees across 30 offices in the US and six internationally. CEO of INS David Brutze will continue to be president and CEO of the combined company, and the company said Andy Zimmerman, CEO of Predictive System will remain with the company through the completion of the transaction.
Privately-held INS provides network consulting, security and network integration services to companies including Allergan, Baxter Healthcare, Discount Auto Parts, Dynamic Healthcare Technologies, Ketchum, Ocean Communications, and Ruder Finn.
Source: Computerwire
