Transcom divests German Credit Management Services operations for EUR 9.0 million to Tesch Group, a portfolio company of Avedon Capital Partners
| Source:Transcom WorldWide S.A.
Luxembourg, 13 December 2013 – Transcom today announced that the company has
signed an agreement to divest its German Credit Management Services operations
(CMS Germany) to Tesch Group, a portfolio company of Avedon Capital Partners,
for €9.0 million on a cash and debt free basis. The consideration will be paid
in cash at closing. The transaction is expected to close by the end of January
2014, subject to regulatory approval.
CMS Germany had a turnover of €9.0 million in 2012 and has approximately 120
employees. The divested operations are part of Transcom’s Credit Management
Services business unit (CMS), which generated revenues amounting to €55.3
million in 2012.
During the year, Transcom’s Board of Directors has been evaluating a number of
strategic alternatives for the company’s CMS business unit. Initially, the main
alternative considered was a spin-off of the CMS business unit to Transcom’s
shareholders through the distribution of new shares in the CMS business.
However, since Transcom’s CMS units in various European countries operate as
independent, autonomous entities, each unit is being assessed both on a
standalone basis and – in some cases – as part of various possible business
combinations. In the case of CMS Germany, the Board of Directors has concluded
that the most beneficial option for Transcom’s shareholders is a sale as a
standalone unit. The process of evaluating strategic alternatives for the
remainder of the CMS business unit is progressing, and we will communicate
further details as soon as a decision has been reached.
“This transaction is part of our efforts to strengthen Transcom’s position in
our core business – outsourced customer care solutions (CRM). While early
collections services, e.g. payment reminder calls, are an integrated part of our
core CRM business, the business model in our CMS unit – contingent and legal
debt collections – is entirely different”, commented Johan Eriksson, Transcom’s
President and CEO.
For further information, please contact:
Johan Eriksson, President and CEO
Telephone +46 70 776 80 22
Pär Christiansen, CFO
Telephone +46 70 776 80 16
Stefan Pettersson, Head of Group Communications
Telephone +46 70 776 80 88
Transcom is a global customer experience specialist, providing customer care,
sales, technical support and credit management services through our extensive
network of contact centers and work-at-home agents. We are 29,000 customer
experience specialists at 62 contact centers across 26 countries, delivering
services in 33 languages to over 400 international brands in various industry
verticals. Transcom WorldWide S.A. Class A and Class B shares are listed on the
NASDAQ OMX Stockholm Exchange under the symbols TWW SDB A and TWW SDB B.
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