Geometric acquires Germany's 3Cap Technologies
03 Jan 2013
Software services firm Geometric Software Solutions has acquired 3Cap Technologies GmbH (3Cap), a Munich, Germany-based specialist in electronics engineering for the automotive industry.
3Cap had revenues close to €11 million in 2012, Geometric said in a statement, adding, it would pay €7.5 million euros up front. The acquisition will be funded through cash accruals with the balance payments subject to earn-outs over a maximum period of three years.
The acquisition, which is effective 1 January, was made through its German subsidiary, Geometric Europe GmbH.
3Cap employs over 110 people in Germany and has seven customers, which are mostly tier 1 automotive suppliers. It offers services such as embedded systems development verification and validation, and calibration in the areas of power-train and chassis.
''This acquisition represents an important step in our strategy to provide greater capability and more comprehensive solutions in the digital product realisation space to our customers,'' Geometric's managing director and chief executive officer Manu Parpia said.
Geometric, in which billionaire investor Rakesh Jhunjunwala is the largest stakeholder, has particlular strengths in engineering software and mechanical engineering services. The company generates almost 70 per cent of its revenues from the US market.