Luxembourg – 3rd September 2007 – Transcom WorldWide S.A. (Nordic Exchange: ‘TWW SDB A’, ‘TWW SDB B’), the European CRM and debt collections specialist, today announced that it has acquired 100% of IS Inkasso Service Group (‘IS Inkasso’), the largest debt collection agency in Austria, for a total cash consideration of €39 million. IS Inkasso reported revenues of circa €17 million in fiscal year 2006, and the purchase price is based on a valuation of approximately 7 times EBIT.
The transaction will be funded out of the credit facility that Transcom established in the first half of 2007, and IS Inkasso’s operations will be consolidated from 1st September 2007. Senior management personnel have signed long-term contracts to remain with the company.
Founded in 1975, IS Inkasso has grown to become the largest outsourced debt collection company in Austria and currently employs 130 people. The privately owned company is headquartered in Linz, Austria and is also present in Germany, Switzerland, Slovenia, Croatia and the Czech Republic. IS Inkasso provides a wide range of services, including legal debt collection, field-based collection, investigation and credit checks. It provides these services to a diverse client base and has recently developed collections services for clients in Eastern Europe from its Austrian operations.
Keith Russell, President and Chief Executive Officer of Transcom, said: “We are pleased to announce this exciting development for Transcom. This deal is perfectly in line with our long-term strategy of enhancing group margins and further consolidates our position as one of the leading players in the European debt collection market. The acquisition provides us with a very strong foothold in Central Europe, enabling us to strengthen our position within the mature markets in the region as well as to further develop our CMS business in the fast-growing economies of Eastern Europe.”
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For further information please contact:
Transcom WorldWide SA
Keith Russell, President & CEO T: +352 27 755 000
Noah Schwartz, Investor & Press Relations T: +44 (0)20 7321 5032
Transcom WorldWide S.A. is a rapidly expanding Customer Relationship Management (CRM) solution provider, with 72 sites employing more than 16,000 people delivering services from 29 countries – Austria, Belgium, Canada, Chile, Croatia, Czech Republic, Denmark, Estonia, France, Germany, Hungary, Italy, Latvia, Lithuania, Luxembourg, the Netherlands, Norway, the Philippines, Poland, Portugal, Romania, Serbia, Slovakia, Spain, Sweden, Switzerland, Tunisia, the UK and the USA.
The company provides CRM solutions for companies in a wide range of industry sectors, including telecommunications and e-commerce, travel & tourism, retail, financial services and utilities. Transcom offers clients a broad array of relationship management services, including inbound communication; telemarketing and outbound; Administrative Tasks; Web servicing; CRM Consultancy Service; Contract Automation; Credit Management Service; Legal Services; and Interpretation Services. Client programs are tailor-made and range from single applications to complex programmes, which are offered on a country-specific or international basis in up to 33 languages.
Transcom WorldWide S.A. class A and B shares are listed on the Nordic Exchange Mid Cap list under the symbols ‘TWW SDB A’ and ‘TWW SDB B’.