STOCKHOLM (Reuters) -Swedish industrial technology group Hexagon AB said on Tuesday it had acquired cloud technology company Infor’s enterprise asset management (EAM) division in a cash and equity deal worth $2.7 billion.
Infor is owned by Koch Industries and its EAM is software used by industrial companies to track assets, digitalise maintenance operations and improve the digital operations.
“Infor EAM is continuously ranked by analysts as a market leader among best-of-breed EAM solutions and is considered by thousands of customers as one of the industry’s most compelling solutions,” Hexagon CEO Ola Rollen said in a statement.
The sale comprises $800 million in cash and $132 million in the form of shares paid to Koch. The transaction, which is subject to regulatory approval, would leave Koch owning a stake of almost 5% in Hexagon.
Infor EAM’s expected revenue for 2021 is $184 million, Hexagon said, adding that the business had been growing at a compound rate of 35% in the last three years.
Hexagon said it expected the acquisition would generate it additional sales worth $100 million by 2026.
“Adding an enterprise asset management system to our portfolio puts us in a unique position to drive further digital transformation across our customer base,” Rollen added.
(Reporting by Colm Fulton; editing by Niklas Pollard)
