Fujitsu Announces Intention to Acquire 100% Ownership of GLOVIA International
-- Acquisition of Web-enabled ERP Vendor to Support Strategic Focus on Internet Business Solutions --
Tokyo, February 15, 2000 -- Fujitsu Limited today announced its intention to acquire 100% ownership of GLOVIA International LLC, a California-based leading provider of business applications, e-commerce solutions, advanced technology and world-class services for the digital marketplace, in which it currently holds a 30.5% interest. Based on a recently signed Memorandum of Understanding and subject to standard transaction closing conditions, Fujitsu intends to acquire by April 2000 the outstanding 69.5% interest in GLOVIA International now held by UK-based MDIS. In making GLOVIA International a wholly owned subsidiary, Fujitsu intends to aggressively promote the web-enabled GLOVIA Enterprise Resource Planning (ERP) packaged software solution on a global basis in support of its Internet-focused solutions business strategy.
The GLOVIA/Fujitsu relationship dates back to 1992, when Fujitsu became a key distributor of the GLOVIA ERP package in the Asia- Pacific region, followed by Fujitsu becoming a strategic customer deploying the GLOVIA product suite in twenty-three of its factories worldwide. Fujitsu continued the relationship by becoming a co-development partner and eventually part owner of GLOVIA in 1997. In addition to the acquisition of MDIS's interest in GLOVIA International, the proposed transaction includes a perpetual license and rights to all source code for the Pro IV technologies underlying the GLOVIA products.
"As a total solutions provider of high-quality products and services, Fujitsu is making the fullest possible use of the Internet to provide a wide range of solutions that meet the diverse needs of customers and society around the world," commented Naoyuki Akikusa, President of Fujitsu Limited. "With our 'Everything on the Internet' business strategy building momentum, GLOVIA's 100 percent Web-enabled software and e-commerce initiatives will play a key role in helping us provide new and existing customers with technology and solutions to run their digital enterprises and boost their competitiveness in the global economy."
Tatsuzumi Furukawa, Group President, Application Software Business Group and Network Service Business Group, and Member of the Board of Fujitsu Limited, stated: "Through the rapid deployment of advanced business solutions, GLOVIA has delivered competitive advantages to many excellent customers throughout the world. GLOVIA's short implementations and modular solutions make it well positioned to assist customers in adapting to the business changes brought on by the Internet."
Matt O'Malley, President and CEO of GLOVIA International remarked, "I believe that the strength of the GLOVIA technology with the full backing of Fujitsu will allow GLOVIA to play a key role in the global B2B e-commerce market."
About Fujitsu Limited
Fujitsu Limited (TSE: 6702) is a leading provider of comprehensive information technology and network solutions for the global marketplace. Comprising over 500 group companies and affiliates worldwide -- including ICL, Amdahl and DMR Consulting Group -- the Fujitsu Group had consolidated revenues of 5.24 trillion yen ($43.3 billion) in the fiscal year ended March 31, 1999. With world- class hardware and software technology in computers, telecommunications and microelectronics, and a corps of 55,000 systems and services experts around the world, Fujitsu is uniquely positioned to harness the power of the network to help its customers succeed. Altogether, the Fujitsu Group has 188,000 employees and operations in over 100 countries.
About GLOVIA International LLC (TM)
GLOVIA International offers business applications, e-commerce solutions, advanced technology, and world class services in support of the global digital economy. With customers like Dell, Ericsson, Eaton and Caterpillar, GLOVIA has delivered innovative, rapidly deployed and successful solutions to more than 850 customer sites around the world.
In recognition of the paradigm shift resulting from the Internet, GLOVIA provides critical competitive advantage to its customers through rapid deployment of e-business solutions. GLOVIA is based in El Segundo, Calif., with offices around the world.
* All company/product names mentioned may be trademarks or registered trademarks of their respective holders and are used for identification purpose only.