System Ltd to acquire 100% stake in National Data Consultant

May 10, 2022 (MLN): Systems Limited (PSX: SYS) has entered into a term sheet with the sponsor shareholders of National Data Consultant (Pvt.) Limited (NdcTech) for the acquisition of 100% of the issued and paid-up share capital of NdcTech, the company’s filing on PSX said today.

However, it is subject to compliance with the applicable laws, including, obtaining the necessary corporate and regulatory approvals (the “Transaction”).

The management of both parties will now start discussions to finalize terms for the acquisition, the share purchase agreement and other Transaction related documents and upon finalization, terms
and conditions shall be presented to the Board of Directors for their final consideration and approval.

Earlier, the Board of Directors of Systems Limited in a meeting held on April 27, 2022, authorized the management of the company to consider and finalize terms in relation to potential direct and indirect acquisitions, involving inter alia the 100% acquisition of entities providing IT services locally and internationally, including software development, software maintenance and system integration.

NdcTech has been a leading core and digital banking implementation service provider for the past 22 years and has a rich set of clients in Pakistan, the Middle East, Africa and the Asia Pacific region.

NdcTech is a regional partner of Temenos, which has over 3,000 financial institutions across the globe, including 41 of the world’s top 50 banks. Temenos is recognized by renowned firms such
as Gartner, Forrester, IBS Intelligence, Everest Group and Fintech Futures as a Leader in their respective quadrants.

Both NdcTech and the Company have delivered a market-leading performance in IT regionally and globally and created value for customers and shareholders.

Given the recent industry shifts such as the prominence of large digital transformation deals, cloud computing models for XAAS (Anything as a Service), and preference for end-to-end offerings by customers globally, the management of the two entities have decided that the time is appropriate to combine the strengths of both organizations to better serve the customers.
 

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