Sonda makes US$68.5mn move on Quintec

Wednesday, August 10, 2011

Chilean IT systems integrator Sonda has made an offer to purchase the entirety of fellow tech holding company Quintec, the former announced to local securities regulator SVS.

Sonda offered 206 pesos a share for 100% of Quintec's 157mn shares. If Sonda is successful in purchasing all of Quintec, the total offer would reach 32.4bn pesos (US$68.5mn).

According to Sonda assessor Bice Inversiones, the offer - which must have a minimum 85% acceptance to move forward - represents a 41.3% premium on Quintec's current market price. The offer is valid through September 9.

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"If the public offer is successful, Sonda will take control of Quintec, which will allow it to increase its IT service offer, expanding its customer base in Chile, Colombia, Brazil, Argentina and Peru as part of its business development plan in the region," the Sonda statement said.

M&A activity has marked Sonda's US$500mn 2010-12 investment plan. Last year alone, the company acquired three companies in Brazil, one in Mexico and another in Argentina. The public offer for Quintec is actually Sonda's second attempt at buying its competitor, after an offer in 2009 failed.

Quintec then entered negotiations to merge with Brazilian IT company Politec, but that move was called off at the beginning of 2010, with the boards of both companies agreeing to limit their involvement to a commercial partnership.

Sonda's Q2 net income surged 9.4% year-on-year to 9.63bn pesos, compared to the 8.80bn-peso bottom line seen in 2Q10. Revenues for the quarter were 132bn pesos, an 18.4% increase when compared to 112bn pesos from the same period in 2010.

At the time of publishing, Quintec's shares on Santiago bourse IPSA had soared 39.4% to 195 pesos, while Sonda's shares were up 2.78% to 1,110 pesos.