Exela Technologies Signs Exclusive Non-Binding Letter of Intent to Create Stand-Alone European XBP Platform
Exela’s equity stake valued at $220 million, stand-alone EMEA business to be listed on Nasdaq
Exela Technologies, Inc., a business process automation (“BPA”) leader, announced that one of its subsidiaries entered into an exclusive non-binding letter of intent (“LOI”) to form a stand-alone publicly listed company of its EMEA business, which has approximately $200 million in annual revenue. The news follows the June 6 announcement in which Exela declared its intention to sell in excess of $200 million of assets.
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The equity consideration of Exela’s stake in the proposed transaction is valued at $220 million. The cash to be injected into the EMEA business from the proposed transaction would be used for growth and general corporate purposes by the new, stand-alone Nasdaq listed European business.
Completion of the transaction is subject to the negotiation of a definitive agreement providing for the transaction, satisfaction of the conditions negotiated therein, including regulatory and other approvals. Accordingly, there can be no assurance that a definitive agreement will be entered into or that the proposed transaction will be consummated. Readers are cautioned that those portions of the LOI that describe the proposed transaction, included the consideration to be issued therein, are non-binding. Exela only intends to announce additional details regarding the proposed transaction if and when a definitive agreement is executed.
Exela Technologies is a business process automation (BPA) leader, leveraging a global footprint and proprietary technology to provide digital transformation solutions enhancing quality, productivity, and end-user experience. With decades of experience operating mission-critical processes, Exela serves a growing roster of more than 4,000 customers throughout 50 countries, including over 60% of the Fortune® 100. Utilizing foundational technologies spanning information management, workflow automation, and integrated communications, Exela’s software and services include multi-industry, departmental solution suites addressing finance and accounting, human capital management, and legal management, as well as industry-specific solutions for banking, healthcare, insurance, and the public sector. Through cloud-enabled platforms, built on a configurable stack of automation modules, and approximately 17,000 employees operating in 21 countries, Exela rapidly deploys integrated technology and operations as an end-to-end digital journey partner.
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