NICE Systems (Nasdaq: NICE; TASE: NICE) announced Friday it signed agreements to acquire IEX, a worldwide leading provider of contact center workforce management solutions and Performix Technologies, a developer of contact center performance management (CCPM) solutions. The company said the transactions were subject to the satisfaction of customary closing conditions and were expected to close towards the end of the second or the beginning of the third quarter of 2006.
IEX supplies workforce management, strategic planning and performance management solutions for the contact center market. IEX’s flagship product “TotalView” provides a high-end centralized solution that compiles data seamlessly across the enterprise, enabling more accurate and effective forecasting, planning and scheduling. Under the agreement, NICE will acquire the shares of IEX, a wholly owned subsidiary of Tekelec (NASDAQ: TKLC) for approximately $200 million in cash.
Performix develops and supplies contact center performance management solutions, an emerging trend in the contact center market. Under the agreement, NICE will acquire Performix for $13.2 million in cash. The Performix purchase price may be increased by up to an additional $6.15 million based on certain performance criteria (of which up to $3 million at closing).
NICE CEO Haim Shani said, “Through these acquisitions, we are redefining the contact center business performance and analytics market and expanding our position as the undisputed leader. We are accelerating the execution of our strategy to lead the Insight from Interactions revolution in the contact center and enterprise. The combination of these strategic moves will significantly contribute to NICE’s growth and profitability. We are excited about the opportunity to take our leadership position to new levels. “I also want to extend a warm welcome to the employees who will be joining us from IEX and Performix. The combination of our teams creates the strongest talent pool in the industry, with commitment to innovation, industry knowledge, and domain expertise.”
NICE said in its announcement that it would raise its full year guidance for 2006, incorporating the expected contribution of the acquisitions of IEX and Performix for the second half of the year. The acquisitions are expected to add $28-30 million to NICE’s top-line in 2006, increasing the company’s revenues guidance to $395-405 million, up from $367-375 million. Pro-forma earnings per share in 2006 is expected to increase to a range of $2.00 -2.12 per diluted share, up from $1.90-2.00. This outlook may change as the integrations proceed and acquisition accounting is finalized.
Published by Globes [online], Israel business news - www.globes.co.il - on April 30, 2006
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