27 Apr Atlas Advisors advised Tele Atlas North America on the acquisition of Geographic Data Technology
Excerpt of Press Release by Tele Atlas N.V.
Tele Atlas N.V. (“Tele Atlas” or the “Company”), a leading provider of digital map data, announced today that its wholly-owned subsidiary Tele Atlas North America (“TANA”) has entered into an agreement to acquire Geographic Data Technology Inc. (“GDT”) in a cash transaction for $100 million.
GDT, a private company based in Lebanon, New Hampshire, USA, is a digital map company that is focused on the North American market. Based on their unaudited financial statements for the fiscal year ended March 31, 2004, GDT generated revenues of approximately $43.5 million and earnings before interest, taxes, depreciation, amortization and capitalization of software and database development costs (EBITDA) of $6.5 million. This compares with $38.5 million in revenues and a $2.7 million EBITDA-loss for the prior year ended March 31, 2003. Over the last 20 years, GDT has developed a strong position in the North American digital mapping industry.
Both TANA and GDT have full coverage databases of North America with exceptional accuracy and rich attributes. The combination will result in an even more accurate and feature rich digital map for North American navigation, location based and geographic information services markets. Customers will benefit from TANA’s comprehensive turn-by-turn map for navigation and GDT’s core competence in the geographic information services, routing, logistics and internet sectors.
The company expects to realize significant cost savings with the combination of its operations in North America with GDT. By rationalizing its database organization and marketing and general and administrative expenses, annual savings are expected to be realized of approximately $24 million(€20 million).
The Company expects to fully realize the benefit from these cost savings by the beginning of 2006.
Atlas Advisors acted as exclusive financial advisor to Tele Atlas North America in connection with this transaction.
Atlas Advisors is the marketing name for Atlas Advisors, LLC and Atlas Strategic Advisors, LLC. Atlas Strategic Advisors, LLC provides financial advisory services in connection with mergers, acquisitions and other similar transactions. Atlas Strategic Advisors, LLC is a wholly owned subsidiary of Atlas Advisors, LLC and a member of the FINRA.
None of the information contained in this release constitutes a recommendation, solicitation or offer by Atlas Strategic Advisors, LLC or its affiliates to buy or sell any securities, futures, options or other financial instruments or provide any investment advice or service.