Devecto

Devecto provides demanding software design for smart devices and machinery, along with related services and tools. Industrial digitalisation solutions, software development for mobile machinery and embedded devices form the core competence of the company. Devecto serves customers from requirements determination and service design to the development and quality assurance of entire systems and digital services. Devecto's customer base includes companies such as Ponsse, Valtra, and ABB. Gofore expects to generate synergy benefits specifically from the cross-selling of services. Devecto will also be availing itself of the shared services of the Gofore Group to support its growth. The purchase price of the share capital to be acquired amounts to EUR 21.0 million, consisting of the debt-free price of the business operations of EUR 20.0 million, and of compensation payable for the net cash and working capital adjustment, estimated to amount to approximately EUR 1.0 million. Gofore Plc will be paying 70% of the purchase price in cash and 30% in the form of share consideration. Also, an earnout has been agreed upon, based on Devecto's profit for the year 2022. The maximum earnout shall amount to EUR 5 million and, in case it materializes, will be payable in the form of cash consideration during the first half of 2023.