Converge Technology rises on deal to buy Vicom Infinity, Infinity Systems

Converge Technology Solutions

30/06/2021 16:49

** Cloud solutions provider's shares  CTS.TO  up 4.3% at
C$10.15 in early trading
    ** Co to acquire Vicom Infinity Inc, a software supplier and
services provider for IBM platforms, and sister company Infinity
Systems Software Inc  urn:newsml:reuters.com:*:nCNWMzj5ca
    ** Aggregate consideration for purchases will consist of $15
mln in cash to be paid at closing
    ** Vicom Infinity and Infinity Systems Software together
generated revenue of about C$106.1 mln ($85.63 mln) and adjusted
EBITDA of C$7.25 mln for the trailing 12-month period ended
March 31
    ** The cash portion of the purchase price will be financed
by Converge's recently completed bought deal public offering of
common shares  urn:newsml:reuters.com:*:nCNWrZvk4a
    ** Stock has more than doubled YTD


($1 = 1.2391 Canadian dollars)

 (Reporting by Sahil Shaw in Bengaluru)
 ((sahil.shaw@thomsonreuters.com))