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CDC Software Completes Acquisition of Activplant Corporation

Announcement posted by CDC Software Australia 20 Jan 2010

SYDNEY 6 November, 2009 — CDC Software Corporation, a global provider of enterprise software applications and services, today announced the acquisition of Activplant Corporation, a Canadian-based provider of manufacturing business intelligence solutions, that is expected to position CDC Factory as a market-leading solution in the packaged Manufacturing Operations Management (MOM) solutions space.

For more than a decade, Activplant solutions have promoted continuous improvement initiatives for the factory floor in discrete and process manufacturing. Activplant is a market leader in providing manufacturing business intelligence software for some of the world’s leading Tier 1 automotive manufacturers, as well as food and beverage, forestry products and CPG companies. Their software is installed at more than 200 plants around the world. Its patented business intelligence software helps companies manage their operational performance by focusing on the key issues in their facilities, which ultimately affect cost, quality, and supply chain demand requirements. This acquisition is expected to generate new cross-selling opportunities for CDC Supply Chain in the Tier 1 automotive market, as well as expand CDC Software’s manufacturing solutions’ already significant footprint in the food and beverage and consumer packaged goods markets.

“We are excited to acquire this innovative developer of manufacturing intelligence solutions which is an ideal fit with our CDC Factory product line,” said Bruce Cameron, president of CDC Software. “We expect this to be an accretive acquisition and fits within our strict valuation criteria. We believe Activplant will help CDC Software take a leadership role in the packaged MOM applications market. It also expands CDC Factory’s already significant presence in the food and beverage and CPG markets, as well as help CDC Supply Chain solutions penetrate further in the Tier 1 automotive industry.

“With CDC Factory and Activplant’s out-of the-box MOM functionality, manufacturers do not have to spend costly consulting fees to customize the software to fit their distinct business processes. With these CDC Software solutions, manufacturers can now focus their budget on implementing best practices and continuous improvement initiatives that will ultimately improve their profitability,” Cameron added.

“CDC Software’s acquisition strategy is a key part of the company’s plan for growth and we believe our strategy is enabled by our global scalable business and technology platform that features an infrastructure of multiple complementary applications and services, domain expertise in vertical markets, cost effective product engineering centers in India and China and a worldwide network of direct sales and channel operations. We believe our global platform is a key reason why we have successfully integrated acquisitions that have resulted in a deeper and broader product portfolio, expanded geographic reach, and increased vertical expertise."

This acquisition announcement marks the latest of several strategic initiatives undertaken by CDC Software. Last quarter, CDC Software completed the acquisition of WKD Solutions Ltd., a leading provider of supply chain event management solutions marketed under the brand Categoric. In addition, CDC Software recently announced plans to acquire two SaaS companies as part of its SaaS rollup strategy to expand in this growing market.

About Activplant

Activplant Corporation is a leading enterprise manufacturing intelligence company. Activplant's solutions are implemented at several of the world's largest and most admired manufacturers http://www.activplant.com/customers/. Aimed at high-volume, high-automation plants, Activplant's technology consolidates plant floor data into relevant real-time and historical intelligence, enabling productivity gains through better decision making. With Activplant solutions, manufacturers can focus on the key issues in their facilities and thereby helping to improve throughput, product quality, and operating margins. Activplant is based in London, Ontario. For more information please visit www.activplant.com

For further information please contact:

Jimmy Hong
CDC Software Australia
(02) 8870 7287
jimmy.hong@cdcsoftware.com.au