Sunbury, United Kingdom — June 25, 2010 — GXS™, a leading provider of business-to-business (B2B) e-commerce solutions, today announced that the company’s merger with Inovis has received formal regulatory clearance in the United Kingdom. This follows GXS’s announcement on June 3, 2010 indicating that it had successfully completed antitrust review in the United States and closed the merger. The U.K. government’s Office of Fair Trading (OFT), which has a statutory duty to review certain transactions, today concluded its review of the merger in the U.K. During the OFT review, the GXS and Inovis businesses in the U.K. continued to operate separately.
U.K. approval was the last regulatory hurdle for the worldwide merger between GXS and Inovis, which has created the world’s largest network of integrated business communities, with deep vertical expertise and the most expansive global footprint. Together, the network platforms of both companies – GXS Trading Grid® and Inovisworks™ – represent over $200 million in cumulative research and development since 2004, when the companies initiated the transition of traditional value-added networks (VANs) to service-oriented, integration platforms capable of delivering high-value managed services. The combined company now has over 40,000 direct customers and direct operations in over 20 countries, offering customers the advantage of a single worldwide provider, a global feature set, and a consistent high-quality service expectation.
“We are now in a position to begin delivering the benefits of the merger to businesses throughout the United Kingdom,” commented Bob Segert, GXS president and CEO. “Drawing upon our unique capabilities in a number of industries, including retail, automotive, consumer products, financial services, high-tech manufacturing, and logistics and transport, GXS is well positioned to deliver a wide variety of advanced capabilities to automate global supply chain operations and simplify business-to-business integration for businesses throughout the UK.”
In a December 2009 report, The Impact of a GXS/Inovis Merger, Forrester Research stated, “A forward-looking strategy is driving the merger. Most enterprises are looking for a wide range of integration solutions from a single vendor, and the ability to obtain these services via multiple channels — software licenses, managed services, [software-as-a-service] SaaS-based software solutions, and cloud computing alternatives — is becoming increasingly important. GXS’ and Inovis’ combined resources will be able to deliver these types of flexible integration solutions better than either provider could on its own.”
The OFT’s decision is independent confirmation that the merger will not adversely affect U.K. customers, resellers or other competitors. GXS can also confirm that all products and services provided by GXS and Inovis in the UK today will continue to be maintained and supported. In addition, all customers should be assured that any efforts to combine overlapping services in the future will be where practical and beneficial to customers. As demonstrated with numerous previous acquisitions, GXS has the proven ability to combine platforms transparently and with little-to-no service impact.
Francisco Partners and its co-investors, Golden Gate Capital, Cerberus and Norwest Venture Partners will own the combined company with Francisco Partners retaining the controlling interest.
All products and services mentioned are trademarks of their respective companies.
# # #
Media Relations Contacts:
Marketing Programmes International
Tel: +44 (0) 1932 776408 / +44 (0) 7768 537 481
This press release contains “forward-looking statements.” You should not place undue reliance on these statements. These forward-looking statements are based on the beliefs of our management as well as assumptions made by, and information currently available to, us. These statements include, but are not limited to, statements about our strategies, plans, objectives, expectations, intentions, expenditures, and assumptions and other statements contained in this release that are not historical facts. These statements are affected by risks, uncertainties and assumptions.