Welcome to our dedicated page for Converge Technol news (Ticker: CTSDF), a resource for investors and traders seeking the latest updates and insights on Converge Technol stock.
Overview
Converge Technology Solutions Corp. (CTSDF) is a globally recognized, services-led and software-enabled IT & cloud solutions provider. The company specializes in delivering cutting-edge advanced analytics, artificial intelligence, and cloud computing solutions to address complex business challenges. With a keen focus on digital transformation, Converge brings together deep domain expertise, a customer-centric consultative approach, and a comprehensive suite of IT services designed to streamline operations and enhance organizational efficiency across diverse industries.
Core Business Areas
Converge operates across a broad spectrum of technology sectors. Its core business areas include:
- IT & Cloud Solutions: The company provides integrated cloud platforms, application modernization, and digital infrastructure services that empower enterprises to leverage scalable, cost-effective, and secure technological environments.
- Advanced Analytics & Artificial Intelligence: Leveraging state-of-the-art analytics and AI methodologies, Converge delivers actionable insights for improved decision-making while driving operational efficiencies through machine learning and automation.
- Cybersecurity: In today’s digital landscape, cybersecurity is critical. Converge’s cybersecurity offerings are designed to safeguard digital assets, ensuring network security, data privacy, and regulatory compliance for businesses of all sizes.
- Managed Services: By offering advisory, implementation, and managed services, Converge supports end-to-end IT implementations and continuous operational management, enabling businesses to focus on core strategic initiatives while leaving IT complexities to the experts.
Innovative Technology & Strategic Partnerships
Innovation is central to how Converge approaches business challenges. The company has built a reputation for adopting supplier partnerships and integrating next-generation technologies. Among its notable initiatives is the deployment of the QuantumSim™ secure multi-LLM gateway, which underpins its advanced generative AI solutions. This platform is designed to support complex modules such as QS SecureGPT, QS Contracts, and QS Benefits, enabling clients to optimize contract management, enhance benefit analysis, and drive operational efficiencies.
Furthermore, Converge has strategically aligned with major technology players like IBM and Forum Systems to deliver solutions such as Contact Center IQ. This solution enhances customer experiences in contact centers through robust AI-powered analytical insights, streamlining knowledge management, and simplifying complex customer service functions. Such strategic collaborations underscore Converge's commitment to continuously evolving its service offerings to meet the dynamic demands of technology and digital transformation.
Global Presence & Market Position
Operating on a global scale, Converge has established itself as a trusted advisor to both public and private sector organizations. The company’s geographically diverse operations and strong relationships with all major IT vendors allow it to offer tailored solutions to a wide range of industries, including healthcare, finance, retail, and government. This extensive reach, combined with a comprehensive service portfolio, positions Converge as a significant player in the IT services market, helping clients modernize their operational infrastructure and manage digital risks efficiently.
E-E-A-T and Industry Expertise
Converge demonstrates deep expertise in advanced digital solutions through its robust methodologies and strong track record in technology integration. Its experience is reflected in the seamless integration of legacy systems with modern platforms, supported by a strong advisory practice that guides clients throughout the digital transformation journey. With clear authoritativeness in its technical domains—from cloud infrastructures and AI innovations to cybersecurity and managed services—Converge establishes trustworthiness among its clientele by continuously delivering secure, reliable, and scalable IT solutions that are essential for sustainable business operations.
Customer-Centric Approach
The company’s AIM (Advise, Implement, Manage) methodology lies at the heart of its operational excellence. This customer-focused model ensures that each solution is designed to address specific client needs, integrate smoothly with existing systems, and drive tangible business outcomes. Whether it’s optimizing IT spend through intelligent contract analysis or streamlining digital workplace transformation with robust cloud and cybersecurity measures, Converge consistently prioritizes client satisfaction and operational efficiency.
Integrated IT Services Framework
Converge’s integrated framework spans the full spectrum of IT services. From initial IT assessments and strategic advisory services to the execution of complex IT implementations and the ongoing management of digital infrastructures, the company offers a cohesive suite of services designed to mitigate risk, reduce complexity, and promote a culture of continuous improvement. This holistic approach not only ensures smooth transitions to modern technology landscapes but also supports sustainable growth and scalable innovation across client operations.
Conclusion
In summary, Converge Technology Solutions Corp. represents a comprehensive, innovative, and globally integrated IT and cloud solutions provider. Its blend of deep industry expertise, a strong commitment to secure and scalable digital transformation, and strategic technology partnerships makes it a trusted resource for businesses aiming to overcome complex technological challenges. By consistently applying E-E-A-T principles, Converge delivers solutions that are both technically robust and strategically aligned with the evolving needs of today’s digital economy, providing clarity and actionable insights that are vital for long-term operational success.
Converge Technology Solutions (CTSDF) has amended its arrangement agreement with H.I.G. Capital, increasing the cash offer from C$5.50 to C$6.00 per common share. This amendment follows a series of events including an unsolicited proposal from a third party on March 7, 2025, offering C$6.00 per share, and subsequent legal proceedings initiated by H.I.G. Capital.
The third party later submitted a binding proposal at C$6.00 and subsequently increased it to C$6.10 per share. However, the Board unanimously determined that accepting H.I.G.'s amended C$6.00 per share offer was in the company's best interests, citing transaction certainty and timeline advantages.
The special shareholders' meeting to approve the arrangement is scheduled for April 10, 2025, with the transaction expected to complete around April 17, 2025.
Converge Technology Solutions (TSX: CTS, OTCQX: CTSDF) has announced the filing of its management information circular for a special shareholder meeting regarding its acquisition by H.I.G. Capital. The meeting is scheduled for April 10, 2025, at 11:00 a.m. Toronto time in a virtual format.
Under the arrangement, H.I.G. Capital will acquire all outstanding shares for C$5.50 per share, valuing the company at approximately C$1.3 billion. This represents a 56% premium to the closing price on February 6, 2025. The Board of Directors unanimously recommends shareholders vote FOR the arrangement.
The transaction followed a comprehensive strategic review process initiated in 2022, which involved multiple potential buyers. The deal is expected to close around April 17, 2025, pending shareholder approval. The HSR Act waiting period has expired, satisfying one of the key conditions for completion.
Converge Technology Solutions (CTSDF) has reported its Q4 and FY2024 financial results, alongside a significant announcement of its acquisition by H.I.G. Capital. Q4 2024 showed mixed performance with gross sales reaching $1.11 billion (+2.5% YoY), revenue of $680.8 million (+4.6%), and Adjusted EBITDA increasing 3.0% to $47.9 million. However, gross profit decreased 1.6% to $178.6 million.
For FY2024, the company reported gross sales of $4.12 billion (+2.1% YoY), but saw revenue decline 4.2% to $2.59 billion. The company recorded a net loss of $181.0 million, primarily due to a non-cash impairment charge of $176.1 million on the Germany segment.
Most notably, H.I.G. Capital will acquire Converge at $5.50 per share in cash, representing a ~56% premium to the closing price on February 6, 2025. The transaction, valuing Converge at approximately C$1.3 billion enterprise value, will be voted on by shareholders on April 10, 2025. The company has suspended its quarterly dividend and 2025 outlook guidance pending the transaction.
Converge Technology Solutions (CTSDF) has released preliminary Q4-2024 and fiscal year 2024 results. For Q4-2024, the company reported gross sales of $1.1 billion (+2.5% YoY), revenue of $680.8 million (+4.6% YoY), and Adjusted EBITDA of $47.9 million (+3.0% YoY). However, Q4 showed a loss before income taxes of $21.2 million, largely due to a $24.0 million impairment from Portage CyberTech investment.
For fiscal year 2024, while gross sales reached $4.1 billion (+2.1% YoY), revenue declined 4.2% to $2.6 billion. The company faced significant challenges with a $200.5 million loss before income taxes, primarily attributed to a $176.1 million impairment loss in the German segment and $25.9 million loss from Portage investment. The company will discuss complete financial results in a conference call scheduled for March 6th, 2025.
Converge Technology Solutions has announced its acquisition by H.I.G. Capital in an all-cash transaction valued at approximately C$1.3 billion. Shareholders will receive C$5.50 per share, representing a 56% premium to the closing price on February 6, 2025. The transaction has received unanimous board approval and is supported by shareholders holding 24% of outstanding shares.
Following the acquisition, Converge will merge with H.I.G.-owned Mainline Information Systems, creating a combined entity offering broader IT solutions in cybersecurity, cloud, and digital infrastructure. Greg Berard, Converge's CEO, will lead the combined business as CEO, while Mainline's CEO Jeff Dobbelaere will serve as President.
The transaction is expected to close in Q2 2025, subject to shareholder approval and regulatory clearances. Converge also announced that its Q4 FY2024 results are expected to be at the high end of previous guidance, with gross profit of $165-178 million and Adjusted EBITDA of $36-47 million.
Converge Technology Solutions (TSX: CTS) (OTCQX: CTSDF) has announced a change in its December 2024 dividend payment date. The company will pay its previously announced dividend of $0.015 per common share on December 27, 2024, instead of December 28, 2024, due to the holiday schedule. The record date remains December 10, 2024. This dividend is based on the company's financial results for the three and nine months ended September 30, 2024.
Converge Technology Solutions Corp. (TSX: CTS) (OTCQX: CTSDF) has announced a multi-year partnership with Tony Stewart Racing (TSR) as an associate sponsor in the NHRA Mission Foods Drag Racing Series. Converge will provide data analytics, visualization, and cloud storage services to TSR's Top Fuel and Matt Hagan's Funny Car teams. The partnership will officially begin at the 2025 NHRA Gatornationals in Gainesville, Florida, from March 6-9. This marks Converge's first venture into motorsports partnership and marketing, building upon their previous collaboration with TSR on an IBM Watson data analytics case study from 2023-2024.
Converge Technology Solutions reported Q3 2024 results showing mixed performance. The company experienced a decrease in gross sales by 8.9% to $945.0 million and revenue declined 11.2% to $630.7 million. Despite challenges, year-to-date cash from operations increased by $97 million to $212.4 million. The company reduced net debt by $30 million from Q2 2024 and returned $61.7 million to shareholders year-to-date. Notable was a non-cash impairment charge of $176.1 million on the Germany segment. The company announced CEO transition with Greg Berard appointed to the Board as Shaun Maine steps down.
Converge Technology Solutions (TSX: CTS) (OTCQX: CTSDF) has been awarded Solution Partner of the Year for North America by Ingram Micro at the 2024 ONE Innovation Summit in Maryland. The award recognizes partners who have demonstrated exceptional performance across multiple solution categories and leveraged cross-solutions to create significant impact. This achievement follows Converge's previous recognitions as Cloud Reseller Partner of the Year (2020-2022), Blue Series Partner of the Year, and CORE Partner of the Year (2021), highlighting their consistent growth and ability to deliver innovative solutions alongside Ingram Micro.
Converge Technology Solutions (CTSDF) released preliminary Q3-2024 results, with revenue expected between $630.0-631.0 million, below previous guidance of $636-658 million and lower than Q3-2023's $710.1 million. Gross profit is anticipated at $158.0-158.5 million, below guidance of $172-178 million and Q3-2023's $174.1 million. Adjusted EBITDA is projected at $31.8-32.3 million, missing guidance of $43-47 million and Q3-2023's $41.3 million. The company attributes the decline to delayed project spending, lower hardware demand, and customers postponing end-user device refreshes until 2025's AI PC availability. However, cloud and software revenue showed year-over-year growth.
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