SAP AG has agreed to acquire the Swiss and U.S. business units of SAP Systems Integration AG (SAP SI), bringing its absorption of the company nearer to completion.
The German software maker said in March that it planned to take over SAP SI completely and merge it with its own consulting unit. The move is intended to end consultancy duplication and save costs from running a separately quoted subsidiary.
In the latest development, SAP has agreed to acquire SAP Systems Integration (Switzerland) AG and SAP Systems Integration America Holding Inc., the companies announced Thursday. The acquisition of the U.S. holding company includes the transfer of SAP Systems Integration America LLC. The acquisitions take effect Oct. 1.
SAP, based in Walldorf, Germany, currently owns 91.6 percent of SAP SI, according to SAP spokesman Marcus Berner. In June, it ended its public offer to acquire the remaining shares in SAP SI that it didn't already own at the time.
"We said back then that we wouldn't extend this offer but that we would continue to buy shares being traded on the stock market up to Euro 20.40 (US$24.88)," Berner said Friday. "That remains our policy today."
From a legal perspective, if SAP acquired 95 percent of SAP SI shares, it could do a "squeeze out" to gain control of the remaining 5 percent, Berner said.
Integration of the German IT consultant teams at SAP SI and SAP is in progress, said SAP SI spokesman Stephan Kahlhöfer.
SAP SI is based in Dresden, Germany. Both of the U.S. units acquired by SAP AG are in Atlanta, Georgia, while the Swiss unit is based in Regensdorf, Switzerland.