14th February 2007
Acquisition of IPACS e-Solutions (S) Pte Ltd
Kewill Systems plc (LSE: KWL), (“Kewill” or “the Group”), the leading provider of global supply chain execution software and services, announces the acquisition of IPACS e-Solutions (S) Pte Ltd (“IPACS e-Solutions”), a division of IPACS Asia Pte Ltd, a leading IT solution provider for the Transportation and Logistics industry within Asia, for an initial consideration of S$5.5 million (£1.85 million) in cash. In addition, at various dates in the 24 months following completion, up to S$4.5 million (£1.55 million) will be payable in cash as deferred consideration subject to the attainment of performance criteria related to revenues.
IPACS e-Solutions, which has offices in Singapore, Hong Kong and Shanghai, plays a leading role in the international trade marketplaces across Southeast Asia, Korea, Japan and China. Kewill believes it can benefit greatly from an increased global footprint and in particular the opportunity to participate in Singapore’s growing International Trade marketplace. Furthermore, IPACS’ java-based Advanced Logistics System will be used in the EMEA and North American marketplaces.
IPACS’s Freight Forwarding solution, Advanced Logistics System (ALS) is designed on an open platform with leading edge Java and J2EE technology which deploys international data in a multi-lingual format. Following S$2.7 million (£0.9 million) of investment in the product recently, the scalability of ALS allows adaptation to varying operational requirements including the needs of the North American and European marketplace. In addition TradeNet, IPACS customs product, is the leading solution in Singapore and Malaysia with some 1300 users.
All IPACS e-Solutions divisions will become part of the Kewill Global Trade and Logistics business. Sing Lam Wong will remain as CEO of the new Kewill IPACS, reporting to Paul Nichols, CEO of Kewill Systems plc.
In its latest financial year ended 31 December 2006, IPACS made an unaudited profit before tax of S$13,000 (£4,000) after non-recurring management charges and had gross assets of S$2.9 million (£1.0 million) at that date.
Commenting on the acquisition, Paul Nichols, CEO of Kewill, stated:
“The Asian marketplace, including Southeast Asia, Korea, China and Japan, comprises the fastest growing market for Logistics solutions worldwide. We believe this is the ideal opportunity to extend the capabilities of our International Trade solutions into Asia with IPACS and its award-winning technology. Incorporating IPACS capabilities with our market leading trade solutions in EMEA and North America will create an unprecedented global trade solution that can be initiated from anywhere in the world and provide complete visibility and control of goods throughout the export/import process.”
For further information, please contact:
Kewill Systems plc
Paul Nichols, Chief Executive
Guy Millward, Finance Director
Tel: 020 8971 6774
Financial Dynamics
Juliet Clarke / Hannah Sloane / Edward Bridges
Tel: 020 7831 3113
About Kewill Systems Plc
Kewill Systems Plc. is a leading international company dedicated to the development
and provision of software and services to manage complex business to business
supply chains. With over 35 years' experience in the supply chain space,
Kewill Systems is a long-time innovator of Supply Chain Execution software
focusing on order management, transportation management, international
trade logistics and visibility solutions for global trading communities.
Over 55,000 customers have trusted Kewill Systems Plc for the management of their supply chain information including household names such as UPS, FedEx, TNT, DHL, Frans Maas, Panalpina, A.N. Deringer, General Motors, Mazda, General Electric, Philips, Pratt & Whitney, Mitsubishi, Texas Instruments, Littlewoods, Sainsbury's, JD Williams, Marks & Spencer, Toys R Us and Legal & General.
About IPACS e-Solutions (S) Pte Ltd:
IPACS e-Solutions (S) Pte Ltd offers a comprehensive range of solutions
including logistics and cargo management systems, warehouse management
systems, e-Logistics
Fulfillment hub, EDI and Enterprise Application Integration services.
With current staff strength of more than 60 employees in Asia, extensive
customer base, deep market know-how, and strategic partnership with major
solution providers, IPACS, e-Solutions (S) strive to constantly channel
new technological breakthroughs into industry-driven solutions that deliver
true
business value.