News

The ComTrade Group has Submitted a Binding Offer for the Acquisition of HERMES SoftLab

Ljubljana, 18 March 2008 – The company ComTrade Group submitted a binding offer today for the acquisition of HERMES SoftLab, which is at the same time the first step towards the formation of a strategic alliance between the two companies. If the shareholders accept the offer, the alliance of the two groups will result in the biggest international company in Central and South Eastern Europe offering cutting-edge IT services and solutions for various business users. The strategic alliance will form an excellent platform for the future expansion of business operations to the markets of the Adriatic region, Western Europe, the United States and the Middle East. The group will foreseeably employ 1,600 people, record total revenues of 300 million euros and have offices located in 14 countries throughout the world. The shareholders have 10 days to decide whether or not to accept the offer.

The strategic alliance of the two companies brings to a close the almost year long search for an appropriate strategic partner for HERMES SoftLab, with the main goals being the strengthening of the company’s market position, the enhancement of growth potential, and at the same time enables the existing shareholders of HERMES SoftLab to exit from the ownership at an appropriate price.

The management believes that it has found an ideal partner in ComTrade Group which will enable HERMES SoftLab fulfil its goals. With its new partner, HERMES SoftLab will more easily enter markets where previously it has not operated, and will substantially improve its presence in the markets of the Adriatic region, the United States and the Middle East.

The management of HERMES SoftLab believes that a successful acquisition will have a positive effect on the company’s operations and expects the shareholders to accept the offer.