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Sopra Steria's acquisition of Ordina marks a significant milestone in the tech and digital services industry. This strategic move, valued at approximately €520 million, is set to enhance Sopra Steria's market position in the BeNeLux region. By integrating Ordina's capabilities, Sopra Steria aims to deliver comprehensive solutions and drive growth in key sectors.
Ordina, founded in 1973, specializes in Management & Digital Transformation Consulting, Cybersecurity, Data, Applications & Integrations, and Cloud and Infrastructure Management. With a workforce of over 52,000 employees across 30 countries, including 4,000 in the Benelux region, Ordina stands out for its comprehensive service offerings and proven track record with diverse clients. The company emphasizes thought leadership through regular publications and focuses on employee development and career opportunities.
Sopra Steria is a major technology player in Europe, recognized for its consulting, digital services, and solutions. The company offers a wide range of services including consulting, artificial intelligence, technology services, systems integration, software, business process services, infrastructure management, cybersecurity, and information warfare. With 51,000 employees across nearly 30 countries, Sopra Steria holds a significant market position and influence in the European tech industry, shaping technology advancements across the region.
Sopra Steria completed the acquisition of Ordina on September 25, 2023. This acquisition follows a structured process that began with a conditional agreement on March 21, 2023. The timing of this acquisition aligns with industry trends of consolidation and strategic expansion in the tech sector, aiming to enhance market presence and operational capabilities in the BeNeLux region. The deal reflects Sopra Steria's commitment to growth and innovation in a competitive market landscape.
Market Expansion: The acquisition of Ordina by Sopra Steria is a strategic move to expand its market presence in the BeNeLux region. By combining operations, Sopra Steria aims to create a significant entity in the Netherlands, Belgium, and Luxembourg, employing over 4,000 people in these areas. This expansion will provide access to larger business potential in key sectors such as Financial Services and Public sector, defense & security.
Technology Integration: The integration of Ordina's technology solutions with Sopra Steria's offerings will enhance the company's service capabilities. Ordina's expertise in IT consulting, digital business acceleration, data, cloud, cybersecurity, and compliance consulting will complement Sopra Steria's existing services. This synergy will support a nearshore and offshore delivery model, improving operational efficiency and service delivery.
Competitive Advantage: The acquisition strengthens Sopra Steria's competitive position by significantly boosting its market presence and operational scale in the BeNeLux region. The deal is projected to enhance Sopra Steria's earnings per share by 1.2% in 2024 and 3.7% in 2025, indicating financial benefits and improved market positioning. Additionally, the integration of Ordina's debt-free and rapidly growing revenue base further solidifies Sopra Steria's competitive edge, allowing it to attract top talent and maintain long-lasting client relationships.
The acquisition of Ordina by Sopra Steria is set to bring significant changes to the company's operations and management. Ordina's CEO, Jo Maes, will lead the combined Benelux operations, integrating Sopra Steria's existing business with Ordina and recent acquisition Tobania. This merger will streamline operations and enhance efficiency, creating a robust entity in the region. Additionally, the integration will see Ordina, Tobania, and Python Predictions adopting the Sopra Steria name by September 2024, unifying the brand across the Netherlands, Belgium, and Luxembourg.
In terms of product offerings and services, the merger is expected to enhance the combined entity's capabilities, particularly in digital transformation, cybersecurity, and cloud services. The synergy between the companies will provide clients with comprehensive solutions, leveraging Ordina's expertise in IT consulting and Sopra Steria's strengths in digital services. Employee reactions have been cautiously optimistic, with many seeing opportunities for growth and development. Customers are likely to benefit from the expanded service portfolio and improved operational efficiencies, ensuring better support and innovative solutions.
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