UPDATE: Dassault Systemes, IBM To Integrate PLM Sales Operations
October 27 2009 - 2:49AM
Dow Jones News
French software group Dassault Systemes (DSY.FR)and
International Business Machines Corp. (IBM) said Tuesday they
signed an agreement under which Dassault plans to acquire IBM's
sales and client support operations for its product lifecycle
management software application portfolio for approximately $600
million in cash.
The transaction, under which the two companies will integrate
their PLM operations, is expected to be completed in the first half
of 2010, subject to regulatory processes and other
requirements.
"The planned integration of the IBM sales force and related
business operations represents the largest investment in our
corporate history," Bernard Charles, president and chief executive
of Dassault Systemes, said in a statement.
The acquisition is expected to be accretive for earnings and
operating margin from 2010, the CEO of Paris-based Dassault
Systemes said during a conference call Tuesday.
As part of their planned global alliance agreement, IBM and
Dassault expect to continue to jointly invest in developing,
deploying and supporting client PLM environments and delivering
integrated PLM solutions to their clients worldwide, the two
companies said.
Charles said it was the "right time" to buy IMB's PLM portfolio
after having cooperated for numerous years with IBM in the
sector.
"With this announcement, IBM is evolving its partnership with DS
to better align our mutual strengths and better address our
clients' PLM needs," Tom Hawk, general manager, IBM Global
Industrial Sector, said in the statement.
Company Web site: www.3ds.com
-By Ruth Bender and Geraldine Amiel, Dow Jones Newswires; +33 1
40 17 17 54; ruth.bender@dowjones.com;
geraldine.amiel@dowjones.com