Brief: SSH Communications Security Unit Buys Deltagon

SSH Communications Security Oyj

29/01/2021 10:41

Jan 29 (Reuters) - SSH Communications Security Oyj
 SSH1V.HE :
    * REG-SSH COMMUNICATIONS SECURITY CORPORATION’S SUBSIDIARY
KYBERLEIJONA ACQUIRES DELTAGON, A COMPANY SPECIALIZING IN SECURE
MESSAGING
    * ACQUISITION SUPPORTS AIM TO BUILD A NATIONAL CYBERSECURITY
AND
CRYPTOGRAPHY COMPETENCE CENTER AROUND ITS NQX BUSINESS.
    * ACQUISITION IS EXPECTED TO CLOSE DURING FIRST HALF OF 2021
    * AFTER CLOSING, DELTAGON BECOMES A SUBSIDIARY OF
KYBERLEIJONA AND
PART OF SSH GROUP. SSH WILL CONSOLIDATE DELTAGON IN ITS ACCOUNTS
AS A SUBSIDIARY
    * TOTAL ACQUISITION PRICE IS APPROXIMATELY EUR 15.4 MILLION.
    * CASH FLOW IMPACT OF ACQUISITION PRICE TO SSH IS EUR 10
MILLION
OVER NEXT FOUR YEARS.
    * REVENUE OF DELTAGON OY IS ESTIMATED TO BE APPROXIMATELY
EUR 4.7
MILLION IN 2020.
    * PARTIES HAVE ALSO AGREED ON AN EARNOUT PAYMENT OF NO MORE
THAN
EUR 1.3 MILLION
    * ACQUISITION IS NOT EXPECTED TO CAUSE SIGNIFICANT ONE-TIME
INTEGRATION COSTS OR INVESTMENTS.
    * ACQUISITION IS ESTIMATED TO ACCELERATE REVENUE GROWTH OF
SSH,
AND IT IS ALSO ESTIMATED TO IMPROVE SIGNIFICANTLY SSH'S
OPERATING PROFIT AND PROFIT

Source text for Eikon:  ID:nGNE4fRPSB 
Further company coverage:  SSH1V.HE 

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