Concur Agrees to Acquire Gelco
REDMOND, Wash., July 30 -- Concur (NASDAQ:CNQR), the world's leading provider of on-demand Employee Spend Management services, announced that it has agreed to acquire privately-held H-G Holdings, Inc. and its subsidiaries, including Gelco Information Network, Inc., the owner of Gelco Expense Management (Gelco). Gelco provides a wide range of expense management services to its clients, including ExpenseLink. Concur expects the acquisition to be accretive to pro forma earnings in fiscal 2008.
"Our corporate mission is to help our customers drive down the costs of doing business. This acquisition broadens our offerings in areas including electronic payment, auditing, and processing of expense reports. We expect to improve scale, expand our market reach, and to drive new value for all of our customers," said Steve Singh, chairman and CEO of Concur. "We look forward to serving the Gelco customers and we enthusiastically look forward to welcoming our new colleagues from the Gelco team to Concur."
"Gelco shares Concur's passion for delivering continuous value and innovation to our customers," said Karen Beckwith, president and CEO of H-G Holdings, Inc. and Gelco Information Network, Inc. "We look forward to working with the Concur team, as together, we will provide our clients with an even broader selection of offerings and exciting new innovations to help them control costs and manage employee spend."
Under the terms of the agreement, Concur will pay $160 million in cash for all of the outstanding equity securities of H-G Holdings. The total amount of the consideration is subject to certain adjustments, escrows, and hold back provisions set forth in the definitive agreement. The company has secured committed bank financing. The acquisition is subject to customary closing conditions and regulatory approvals.
Concur will discuss the acquisition of H-G Holdings on its fiscal 2007 third quarter earnings call which will take place on Wednesday, August 1, 2007 beginning at 2:00 p.m. (PDT). Concur will open the event to the media and general public by broadcasting the call live over the Internet at www.concur.com.
About Concur
Concur is the world's leading provider of on-demand Employee Spend Management services. Concur enables organizations to globally control costs by automating the processes they use to manage employee spending. Concur's end- to-end solutions seamlessly unite online travel booking with automated expense reporting, streamline meeting management and optimize the process of managing vendor payments, employee check requests and direct reimbursements. Organizations of all sizes trust Concur to help them control spend before it occurs while eliminating paper and optimizing supplier relations. Concur's unified approach to managing employee spend delivers a 360 degree view into all employee expenses, helping companies globally enforce policies and monitor vendor compliance, while delivering unprecedented control and valuable insight. Concur's suite of on-demand services reach millions of employees across thousands of organizations around the world -- streamlining business processes, reducing operating costs, improving internal controls and providing enhanced visibility and actionable expense analysis. More information about Concur is available at www.concur.com.
Source: Concur Technologies, Inc.
Web site: www.concur.com/
