System iNetwork

June 3, 2008

It's the Real Deal: Imtech Acquires REAL Solutions

A European company has crossed the English Channel to purchase a System i-minded UK company, and both businesses are excited about what this means to their customers.

Imtech, a technical services provider in Europe, has acquired REAL Solutions, a UK System i hardware and software company that was named IBM Rational Software Business Partner of the Year in 2007. The acquisition offers Imtech a base for further growth in electrical and mechanical engineering as well as information and communication technology. The pairing also reinforces Imtech’s position as an IBM and Microsoft business partner. REAL's portfolio has established it as one of the top three UK System i partners based on IBM revenue. In addition, REAL operates across national boundaries with software consultancy and hardware implements often designed in one country but delivered in others.

"All IBM systems will be kept in the portfolio," reports Pieter Koenders, manager of corporate communications for Imtech. "REAL Solutions is delivering all IBM solutions related to high availability, storage and virtualization, and all power and modular systems, including software and Services-Oriented Architecture (SOA)," he adds.

Steve Green, REAL Solutions' sales and marketing director, says the acquisition is an opportunity to build stronger and more valuable relations with suppliers and customers alike. "Access to the combined resources of Imtech's information and communications technology business strengthens our ability to deliver and affords our customers a quicker return on their investments with us and IBM," Green reports.

Koenders says REAL is keeping its own locations near London and Manchester. REAL and Imtech are operating separately but sharing clients. "REAL will also cooperate with IBM specialists from Imtech in the Netherlands and Germany to be able to give more added values to its customers," he notes. "REAL will also be able to profit from the wide Imtech network of clients."

From one contact point, Imtech covers the entire chain from consultancy and design to implementation, maintenance, and management. The company employs approximately 18,000 people and earns annual revenue of more than 3.3 billion euro.

The purchase price (including earn-out) was based on six times the EBITA, and Imtech paid in cash. "The acquisition will contribute directly to the profit per share," Koenders says.

Imtech, which has more than 200 offices in Europe, occupies strong positions in the building, industry, infrastructure marine, and telecom markets in Belgium, Luxembourg, the Netherlands, Spain, and the UK. The company ranks in the top five in the global marine technology market and has a worldwide network of more than 50 support offices along the major shipping routes in virtually every continent.

--Vicki Hamende, application development & database editor

Posted by vhamende at June 3, 2008 10:27 AM