Les Lyonnais de Cegid bought by two Anglo-Saxon funds to expand internationally

by bold-lichterman

Cegid, a French company specializing in IT services and software, will change hands. The Lyon group has ad be on the verge of being acquired by two American and British funds, Silver Lake Partners and London-based AltaOne. Amount of this repurchase: 580 million euros, i.e. a great transaction for its founder, Jean-Michel Aulas, but also for the historical shareholders, the insurer Groupama which will sell its shares (37.6%) for 154 million d ‘euros. For the group listed on Euronext, and ranked 10th in the Frenchweb 500 2016, the objective is to accelerate its internationalization.

The other challenge is to continue to develop Saas offers, in a very competitive market. In the first quarter of 2016, Cegid reported a 50% increase in turnover for its SaaS activity, compared to + 17.5% for publishing, for a result of 75 million euros. It also explained this growth of Saas by the acquisitions it made, like the two North American players Technomedia and JDS Solutions in 2015. The stake for IT services companies is indeed on external growth.

Since its establishment in 2001, the United States will become a strategic market for Cegid in the coming months. In January 2016, the company strengthened its presence at the “Big Show”, the global retail fair in order to increase its international visibility. Already present in twenty African countries, it also intends to continue its development on the continent, particularly in Côte d’Ivoire.

After the takeover, Patrick Bertrand, the CEO and Jean-Michel Aulas remain partners, specifies the company.

Created in 1983, Cegid employs 2,200 people. About sixty recruitments are planned to fill his new international missions.

REVIEW Interview with Patrick Bertrand, CEO of Cegid, conducted in November 2014

Read also: Lyonnais Cegid wants to seduce American retailers with the takeover of JDS Solutions