DGAP-News: GK SOFTWARE AG with successful stock market debut

GK Software AG / IPO

19.06.2008 

Release of a Corporate News, transmitted by DGAP - a company of EquityStory AG.
The issuer is solely responsible for the content of this announcement.
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- Shares' first quote determined at EUR 21.40
- GK SOFTWARE is thus the first successful IPO in the Prime Standard in
2008

Schöneck / Frankfurt, June 19, 2008 – The shares of GK SOFTWARE AG, a
European technology leader in the development and provision of standard
software solutions for the retail industry, have been listed on the
Frankfurt Stock Exchange with effect from today. The first quote this
morning was EUR 21.40. A total of 1,750.00 shares were admitted to trading
in the highly regulated Prime Standard with German Securities
Identification Number (WKN) 757142 or ISIN DE0007571424. As a result, the
company had a market capitalization of EUR 36.9 million at its stock market
debut.

'We are very pleased to have broken the ice on the stock market after so
many months,' commented Rainer Gläß, GK SOFTWARE AG's CEO. 'The Investors
are convinced by our scalable business model combined with our profitable
growth!' The IPO has brought gross proceeds of around EUR 10 million
including greenshoe to the software company based in Saxony, Germany. The
company plans to use these proceeds (less costs of the issue) to invest in
its further expansion. This includes accelerated internationalization in
the rest of Europe, expanding strategic sales alliances and increased
investments in the product portfolio, in order to further reinforce the
company's technology leadership. Rainer Gläß added: 'In addition, we are
planning to develop new segments within the retail sector.
Do-It-Yourself-store chains, gas stations and restaurant chains in
particular offer substantial growth potential for our company. In addition,
we also want to increasingly acquire small and medium-sized retailers as
customers for our standardized solutions.'

GK SOFTWARE AG enjoys a highly successful history. The company was formed
in 1990 and has recorded average revenue growth of 44% p.a. over the past
three years. Over the same period, GK SOFTWARE AG increased its EBIT from
EUR 0.5 million to EUR 2.3 million. Andre Hergert, GK SOFTWARE'S CFO, also
ventured some further information: 'We again enjoyed substantial growth in
the first quarter of 2008. Revenues climbed to EUR 3.7 million, and at the
same time we recorded an EBIT margin of 27%. This positive trend is now
also continuing in the second quarter.' The newly acquired, international
customer Coop (Switzerland) and other promising projects that are in the
decision-making phase, mean that GK SOFTWARE AG's Managing Board is thus
very confident that it the company will also be able to enjoy highly
dynamic growth in future with high profitability.


Company Profile

GK SOFTWARE AG is a European technology leader in the development and
provision of standard software solutions for the retail industry. It
supplies an end-to-end range of products for retail stores and company
headquarters. The open and platform-independent software solutions of the
GK/Retail Suite, which are fully programmed in JAVA, have allowed the
company to establish itself on the market as a technology and innovation
leader. The software allows retail chains to optimize their company's
organization and to create significant potential for cost savings as well
as to realize customer loyalty potential in order to increase
competitiveness. The key features of the solutions are: international
applicability, consistent use of open standards and SOA (Service Oriented
Architecture) capability. As GK/Retail is genuine standard software,
parameters can be used to make the necessary adjustments to meet most
customer requirements. This reduces the programming effort and allows rapid
project completion. At the same time, solutions for customers remain
releasable and new functions can be introduced by a release change. A key
component of the modular software is also the StoreWeaver integration
platform, which connects all the subsystems in a retail store and also
provides a powerful interface for enterprise systems such as ERP or CRM
solutions.

The company currently employs 166 employees (as of April 30, 2008) at its
headquarters in Schöneck and at three other business locations: Berlin,
Pilsen in the Czech Republic and Basel/Riehen in Switzerland. GK SOFTWARE
AG can list well-known German retail stores among its customers which
include, for example, Galeria Kaufhof, Parfümerie Douglas, EDEKA
Hannover-Minden, Lidl, Netto Markendiscount and Tchibo, as well as its
first international customer Coop, headquartered in Switzerland. The
company’s software solutions are being used in approximately 12,000 retail
stores in over 50,000 installations in currently 22 countries worldwide.
The company has grown quickly over the past few years and its revenues
reached EUR 10.7 million in 2007. The company’s EBIT amounted to EUR 2.3
million (EBIT margin of 21.7%). Since 1990, the two founders and Executive
Board members, Rainer Gläß (CEO) and Stephan Kronmüller (CTO), together
with the Executive Board members Ronald Scholz (COO) and André Hergert
(CFO) have grown GK SOFTWARE to become a fast-growing, profitable company.

For further information visit the company’s website www.gk-software.de.  


Investor relations contact:

cometis AG
Ulrich Wiehle / Michael Diegelmann
Tel.: +49 (0)611-205855-11
Fax: +49 (0)611-205855-66
E-mail: wiehle@cometis.de


Disclaimer

This publication does not constitute an offer to sell or a solicitation of
an offer to buy or subscribe for any securities. No public offer of
securities of GK SOFTWARE AG, Schöneck, is being, or will be, made outside
Germany. Any offer in Germany is being made exclusively on the basis of the
published securities prospectus filed with the German Financial Services
Supervisory Authority (BaFin). Any decision to invest in the securities of
GK SOFTWARE AG, Schöneck offered should solely be based on the securities
prospectus. Copies of the securities prospectus including the published
Supplements are available free of charge at the offices of GK SOFTWARE AG,
Schöneck, and ICF Kursmakler AG Wertpapierhandelsbank, Frankfurt am Main.
This publication and the information contained therein is not for
distribution or publication, neither directly nor indirectly, in or into
the United States of America, Canada, Australia or Japan.
This publication does not constitute an offer for sale of any securities
into the United States. Securities, including any shares of GK SOFTWARE AG,
Schöneck, in the course of the offer, may not be offered or sold in the
United States or to, or for the account or benefit of, US persons (as such
term is defined in the Regulation S under the US Securities Act of 1933 as
amended (the 'Securities Act')) unless they are registered under the
Securities Act or exempt from registration. There will be no registration
or public offer of any securities of GK SOFTWARE AG, Schöneck, in the
United States.



DGAP 19.06.2008 
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Language:     English
Issuer:       GK Software AG
              Waldstr. 7
              08261 Schöneck
              Deutschland
Phone:        037464 - 840 
Fax:          037464 - 8415
E-mail:       investor-relations@gk-software.com
Internet:     www.gk-software.com
ISIN:         DE0007571424
WKN:          757142
Listed:       Regulierter Markt in Frankfurt (Prime Standard)
Notierung vorgesehen / designated to be listed
End of News                                     DGAP News-Service
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