CGG: CGG Sells its GeoSoftware Business to Topicus.com and Vela Software

Rhea-AI Summary

CGG has entered an agreement to sell its GeoSoftware business to Topicus.com and Vela Software. The deal entails Topicus acquiring a 60% interest and Vela a 40% interest in GeoSoftware. The transaction is subject to mutually agreed closing conditions. CGG's CEO stated that Topicus and Vela are well-positioned to enhance the GeoSoftware product suite, promising growth and continued success for the company. This strategic move aligns with CGG's focus on enhancing operational efficiency and fostering long-term relationships.

Positive

• GeoSoftware has a leading market position, enhancing its appeal to buyers.
• Topicus and Vela are expected to invest in and grow the GeoSoftware product suite.

Negative

• None.

Joint Press Release

CGG Sells its GeoSoftware Business
to Topicus.com and Vela Software

July 30, 2021

CGG S.A. (“CGG”) and Topicus.com Inc. (“Topicus”) (TSXV: TOI) announced today that CGG has entered into an agreement with Topicus and Vela Software (“Vela”),  for the sale of CGG’s GeoSoftware business (“GeoSoftware” or the “Company”).  The closing of this transaction remains subject to mutually agreed closing conditions.

“Being a perpetual owner of businesses, Topicus and Vela look forward to maintaining the standard of excellence that CGG has instilled in the Company’s solutions," said Gabor Czegledy, CEO of Vela’s Energy Portfolio and Han Knooren, Group CEO of the TSS operating group within Topicus. "We are excited to welcome GeoSoftware and its employees, for the long term, into our portfolio. The GeoSoftware business will be owned jointly by Topicus and Vela, with Topicus owning 60% and Vela 40%”.

Sophie Zurquiyah, CEO, CGG, said: “GeoSoftware has a leading position in its market niche. We believe that Topicus and Vela, being software focused companies with a permanent hold philosophy, will be a great home for the business and its employees.  We expect that together they will further invest and develop the GeoSoftware product suite, allowing the Company to grow its offerings and continue its success”. 

About Vela Software

Vela is a global provider of software solutions to a number of vertical industries with broad and deep market knowledge in the Energy and Resources software. As an operating group of Constellation Software Inc., Vela acquires, manages, and builds industry specific software businesses which provide specialized, mission-critical software solutions. Vela’s goal is for its companies to become leaders in their respective verticals by investing in their operations, growing through organic initiatives, and by seeking acquisitions that can strengthen their market position.

About Topicus.com

Topicus.com Inc. is a leading pan-European provider of vertical market software and vertical market platforms to clients in public and private sector markets. Operating and investing in countries and markets across Europe with long-term growth potential, Topicus.com Inc. acquires, builds and manages leading software companies providing specialized, mission-critical and high-impact software solutions that address the particular needs of customers.

For further information, contact:
Topicus.com Inc.
Jamal Baksh, Chief Financial Officer
Tel: (416) 861-9677


About CGG

CGG (www.cgg.com) is a global geoscience technology leader. Employing around 3,700 people worldwide, CGG provides a comprehensive range of data, products, services, and solutions that support our clients to more efficiently and responsibly solve complex natural resource, environmental and infrastructure challenges. CGG is listed on the Euronext Paris SA (ISIN: 0013181864). 

For further information, contact:
Group Communications & Investor Relations
Christophe Barnini
Tel: + 33 1 64 47 38 11
christophe.barnini@cgg.com  

Attachment

• CGG - Press Release pdf version

FAQ

What is the recent development regarding CGG and its GeoSoftware business?

CGG has announced the sale of its GeoSoftware business to Topicus.com and Vela Software, with Topicus acquiring 60% and Vela 40%.

When was the agreement for the sale of GeoSoftware announced?

The agreement for the sale was announced on July 30, 2021.

What does the sale of GeoSoftware signify for CGG's future?

The sale indicates CGG's strategy to enhance operational efficiency and focus on core business areas.

Who are Topicus.com and Vela Software?

Topicus.com is a leading software provider in Europe, while Vela Software specializes in industry-specific software solutions.

What percentage of GeoSoftware does Topicus own after the sale?

After the sale, Topicus owns 60% of GeoSoftware.