The maturity level achieved by the company TotalSoft needs a strategic investor that would sustain its fast development process. Strategic companies are involved in the buying process, interested in acquiring the majority share package from Global Finance.
Liviu Dragan, the founder of Total Soft, will remain a minority shareholder, as required by the new owner to ensure continuity of the business, ZF has learnt. Global Finance and TotalSoft officials did not comment on the deal by press time.
TotalSoft, one of the most important projects of investment firm Global Finance, posted EUR24 million revenue last year, about 40% of which generated by international projects, which will account for more than 50% of the business this year. TotalSoft won two major international contracts from the financial and auto industries last year, Deutsche Leasing and Volvo. The software developer has about 450 employees.
The sale of the TotalSoft stake by Global Finance comes at a time when the mergers and acquisitions market is on the rise both in Romania and worldwide. A number of 119 deals worth more than EUR3 billion were closed in Romania last year.
“TotalSoft has been and still is one of those rare success stories in the history of software and IT services industry in Romania, developed by an entrepreneur and attracting investment funds. Moreover, TotalSoft developed without a massive focus on public/governmental projects, choosing the very competitive business solutions area,” said Eugen Schwab-Chesariu, head of consultancy firm Pierre Audoin Consultants (PAC) for Romania and Eastern Europe.
(English version by Loredana Fratila-Cristescu)