Conduent Announces Agreement to Sell its Curbside Management and Public Safety Businesses to Modaxo
December 28 2023 - 8:50AM
Conduent Incorporated (Nasdaq: CNDT), a global technology-led
business solutions and services company, today announced a
definitive agreement to sell its Curbside Management Solutions and
Public Safety Solutions businesses to Modaxo, a division of
Constellation Software Inc. (TSX: CSU). Modaxo is a global
portfolio company focused on advancing people transportation
solutions.
The transaction is expected to close in the first quarter of
2024. The closing is subject to the satisfaction of customary
closing conditions and regulatory approvals.
“This divestiture demonstrates continued progress in
streamlining our portfolio to drive increased focus on our core
capabilities and enable synergistic growth to create shareholder
and client value,” said Cliff Skelton, Conduent President and CEO.
“The proceeds from this transaction and that of our previously
announced BenefitWallet transaction, will be used principally to
reduce debt. We will continue to be open-minded regarding the use
of capital associated with future portfolio rationalization
efforts. We are committed to ensuring a seamless transition for our
associates and clients while continuing to drive innovation in our
road usage charging and transit businesses to enable streamlined,
high-volume mobility services.”
The two businesses, which support approximately 130 government
clients across the globe, operate largely independent from the rest
of Conduent’s transportation portfolio. Curbside management
provides parking enforcement systems and public safety provides
automated photo enforcement processing, both for state and local
municipalities.
Additional details of the transaction are outlined in Conduent’s
8-K filed with the U.S. Securities and Exchange Commission (SEC)
today.
About ConduentConduent delivers digital
business solutions and services spanning the commercial, government
and transportation spectrum – creating exceptional outcomes for its
clients and the millions of people who count on them. The Company
leverages cloud computing, artificial intelligence, machine
learning, automation and advanced analytics to deliver
mission-critical solutions. Through a dedicated global team of
approximately 60,000 associates, process expertise, and advanced
technologies, Conduent’s solutions and services digitally transform
its clients’ operations to enhance customer experiences, improve
performance, increase efficiencies and reduce costs. Conduent adds
momentum to its clients’ missions in many ways including delivering
43 percent of nutrition assistance payments in the U.S., enabling
1.3 billion customer service interactions annually, empowering
millions of employees through HR services every year and processing
nearly 12 million tolling transactions every day. Learn more at
www.conduent.com.
Media Contacts:Sean Collins, Conduent,
+1-310-497-9205, sean.collins2@conduent.com Neil Franz, Conduent,
+1-240-687-0127, neil.franz@conduent.com
Investor Relations Contact:Giles Goodburn,
Conduent, +1-203-216-3546, ir@conduent.com
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TrademarksConduent is a trademark of Conduent
Incorporated in the United States and/or other countries. Other
names may be trademarks of their respective owners.
Forward-Looking Statements This press release
may contain “forward-looking statements” as defined in the Private
Securities Litigation Reform Act of 1995. The words “anticipate,”
“believe,” “estimate,” “expect,” "plan," “intend,” “will,” “aim,”
“should,” “could,” “forecast,” “target,” “may,” "continue to,"
“endeavor,” "if,” “growing,” “projected,” “potential,” “likely,”
"see," "ahead," "further," "going forward," "on the horizon," and
similar expressions (including the negative and plural forms of
such words and phrases), as they relate to us, are intended to
identify forward-looking statements, but the absence of these words
does not mean that a statement is not forward-looking. All
statements other than statements of historical fact included in
this press release are forward-looking statements, including, but
not limited to, statements regarding the expectation that the sale
of Conduent’s curbside management and public safety businesses will
be consummated and the timing of such consummation, as well as
statements regarding Conduent’s focus on a seamless transition for
clients and associates. These statements reflect our current views
with respect to future events and are subject to certain risks,
uncertainties and assumptions, many of which are outside of our
control, that could cause actual results to differ materially from
those expected or implied by such forward-looking statements
contained in this press release, any exhibits to this press release
and other public statements we make. Important factors and
uncertainties that could cause actual results to differ materially
from those in our forward-looking statements include, but are not
limited to: Conduent’s ability to realize the benefits anticipated
from the sale of its curbside management and public safety
businesses, including as a result of a delay or failure to obtain
certain required regulatory approvals or the failure of any other
condition to the closing of the transaction such that the closing
of the transaction is delayed or does not occur; unexpected costs,
liabilities or delays in connection with the proposed transaction;
the significant transaction costs associated with the proposed
transaction; negative effects of the announcement, pendency or
consummation of the transaction on the market price of our common
stock or operating results, including as a result of changes in key
customer, supplier, employee or other business relationships; the
risk of litigation or regulatory actions; our inability to retain
and hire key personnel; the risk that certain contractual
restrictions contained in the definitive transaction agreement
during the pendency of the proposed transaction could adversely
affect our ability to pursue business opportunities or strategic
transactions; and other factors that are set forth in the “Risk
Factors” and other sections of our Annual Report on Form 10-K, as
well as in our Quarterly Reports on Form 10-Q and Current Reports
on Form 8-K filed with or furnished to the Securities and Exchange
Commission. Any forward-looking statements made by us in this press
release speak only as of the date on which they are made. We are
under no obligation to, and expressly disclaim any obligation to,
update or alter our forward-looking statements, whether because of
new information, subsequent events or otherwise, except as required
by law.
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