MIND CTI to Acquire a Second German Based Messaging Company
September 26 2019 - 8:25AM
MIND C.T.I. LTD. – (NasdaqGM: MNDO), a leading provider of
convergent end-to-end prepaid/postpaid billing and customer care
product based solutions for service providers, unified
communications analytics and call accounting solutions for
enterprises as well as enterprise messaging solutions, today
announced that it has signed a definitive agreement to acquire GTX
GmbH, (https://www.gtx-messaging.com), a provider of enterprise
messaging communication, based in Cologne, Germany.
GTX was founded in 2006 in Cologne, Germany as a
mobile messaging specialist by seed investor Venista Ventures. GTX
offers global SMS services for B-2-B customers, providing business
partners a robust and easy-to-use system to send SMS to end-users
at the best possible quality and attractive pricing. GTX does not
see itself as a SMS-only messaging provider, rather as a
one-stop-platform for clients aiming to extend their messaging
activities on different channels, e.g. WhatsApp, Chatbot on
Messenger and Rich Communication Services (RCS). GTX offers a
unique combination of global reach, reliable technology and
reasonable prices.
Oliver Zabel, Managing Director of GTX,
commented: "We are very excited to be part of the MIND group. Our
customers will benefit from the synergies the transaction brings.
Together with MIND’s extensive product portfolio, we are able to
bring our services to the next level."
Monica Iancu, Chief Executive Officer of MIND
CTI, commented: "As previously announced, we believe that messaging
needs are expanding worldwide, be it in traditional text (SMS) or
in instant messaging and we continue targeting potential
acquisitions that could benefit the company's growth. At the same
time, we continue to invest in our core business, bringing
permanent value to existing customers and maintaining up-to-date
technology. Following our first acquisition in messaging in March
2019 in Germany, we decided to focus in the next few quarters on
the integration of Message Mobile as well as on exploring growth
through consolidation with additional targets. Given our cash
position and our experienced organization, we believe that we are
well positioned and have the required resources to respond to
market needs, to be relevant for future market trends in our core
billing and analytics platforms and continue with our dividend
policy."
GTX will for now continue to operate with its
existing team supporting its customer base. The mid-term goal is to
strengthen operations by unifying Message Mobile and GTX under the
umbrella of MIND CTI Germany, to be led by Mr. Gilad Parness, VP
Enterprise Solutions and Managing Director (Geschäftsführer).
MIND acquires GTX for EUR 250 thousand in cash.
The transaction is expected to be marginally accretive to our
earnings per share, excluding acquisition-related expenses, in
fiscal 2020 and thereafter. MIND’s financial results will include
the acquired company’s results starting the fourth quarter of
2019.
The acquisition is anticipated to be completed
shortly, subject to customary closing requirements.
About MINDMIND
CTI Ltd. is a leading provider of convergent end-to-end billing and
customer care product-based solutions for service providers,
unified communications analytics and call accounting solutions for
enterprises as well as enterprise messaging solutions. MIND
provides a complete range of billing applications for any business
model (license, SaaS, managed service or complete outsourced
billing service) for Wireless, Wireline, Cable, IP Services and
Quad-play carriers. A global company, with over twenty years of
experience in providing solutions to carriers and enterprises, MIND
operates from offices in the United States, Romania, Germany and
Israel.
Cautionary Statement for Purposes of the "Safe
Harbor" Provisions of the Private Securities Litigation Reform Act
of 1995: All statements other than historical facts included in the
foregoing press release regarding the Company's business strategy
are "forward-looking statements." These statements are based on
management's beliefs and assumptions and on information currently
available to management. Forward-looking statements are not
guarantees of future performance, and actual results may materially
differ. The forward-looking statements involve risks,
uncertainties, and assumptions, including the risk that the
acquisition will not succeed in achieving its intended goals due to
competitive, personnel, technological or other integration issues
and the risks discussed in the Company's filings with the United
States Securities Exchange Commission. The Company does not
undertake to update any forward-looking information.
For more information please
contact:Andrea DrayMIND CTI Ltd.Tel:
+972-4-993-6666investor@mindcti.com
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