Global Graphics is buying Hybrid Software. It has entered into a binding conditional agreement to acquire the company from Congra Software.
Guido Van der Schueren, chairman of Global Graphics PLC, said of the proposed acquisition: “Combining Global Graphics and Hybrid Software will create the foremost enterprise software supplier for digital printing, as well as for traditional label and packaging market segments. The DNA of both companies is similar - customer-focused innovation in graphic arts and industrial inkjet - and there’s a strong existing relationship and a great fit between Hybrid Software and Global Graphics companies Global Graphics Software, Meteor Inkjet, and Xitron.
“The combined company will total more than 250 dedicated employees with a wealth of experience in software and hardware development, but our mission will remain unchanged - developing innovative solutions for both end users and OEM suppliers. Hybrid Software has also established a successful recurring revenue model based on SaaS and subscription licensing, something that Global Graphics’ customers are asking for as well. I look forward to concluding the transaction at the beginning of 2021 and to a very bright future for the new company.”
Mike Rottenborn, Global Graphics’ CEO, added: “This proposed acquisition is strategically important for our future growth. With Hybrid Software on board, Global Graphics will be able to offer premium products like packaging editors and production workflow solutions to end-users, in addition to continuing our focus on innovative solutions for our OEM partners. While Global Graphics already supplies technology to the labels and packaging market, we will be able to increase our focus on packaging with the acquisition; the labels and packaging segment is the fastest growing in the printing industry and an area in which Hybrid Software has specialised knowledge. It also has feet on the ground across Europe, Asia, and the Americas to facilitate OEM and end-user sales.”
Consideration for the acquisition is 80m Euro, which will be satisfied in full by issuing 21,074,030 Global Graphics shares to Congra (‘Consideration Shares’). Assuming successful completion of the acquisition and following the issue of the Consideration Shares to Congra, Congra’s aggregate shareholding in Global Graphics will amount to 82.16% of the enlarged issued share capital of Global Graphics (excluding shares held in treasury). The acquisition remains conditional upon the passing of a shareholder resolution at a general meeting of Global Graphics on 8 January 2021.