LONDON (Alliance News) - Enterprise software company Globo PLC on Wednesday said it has signed a letter of intent to buy the business and assets of an unnamed bring-your-own-device and mobile security company for up to EUR14.0 million.
Globo said the name of the company will remain confidential until a final agreement has been reached at the request of the sellers.
It said the business it is proposing to acquire offers mobile security services and has clients in the banking, finance and public sectors, plus a strong reseller network which includes telecommunications, IT services and mobile technology companies.
Under the terms of the offer, Globo will pay EUR6.5 million upfront, with the rest of the consideration to be paid based on the acquisition meeting profit targets in the first two years of ownership.
"I am pleased to announce the signing of this letter of intent, as we have been acutely focused on this strategic transaction over recent months. The addition of both the technology and team will bring substantial benefits to Globo, enhancing our product portfolio with new functionalities and strengthening our solutions' security," said Costis Papadimitrakopoulos, Globo's chief executive.
"We expect that the acquisition will be completed during October and to be immediately earnings enhancing. We continue to evaluate other acquisition opportunities," he added.
Shares in Globo were up 2.6% to 33.86 pence on Wednesday morning.
By Sam Unsted; samunsted@alliancenews.com; @SamUAtAlliance
Copyright 2015 Alliance News Limited. All Rights Reserved.
