Webmedia Buys Finnish Software Firm CCC
Estonia's largest software developer, Webmedia Group, announced on May 16 that it has bought a 97 percent stake in the Finnish software company CCC.
According to a joint statement by both parties, the merger makes the group the leading software development provider for public administration in Finland and the Baltics.
In the statement, the Finnish company's CEO Jorma Kallio said that the companies were a good match as Webmedia's strong background in public sector software solutions could be matched with CCC's well-established customer base.
The price tag for the deal is not being disclosed, but Webmedia Chairman Priit Alamäe has said that it is being financed partly from his company's own resources and partly with the help of bank loans.
Speaking at a press conference in Tallinn, Alamäe said that he expects turnover at the newly-merged company to top 40 million euros this year, with a profit margin of 4 million euros.
Founded in 2000, Webmedia employs about 400 people and has subsidiaries in Lithuania, Serbia, Romania, Egypt and Qatar. Its turnover in 2009 was about 15 million euros, according to rus.err.ee. The smaller CCC Corporation has been around since 1985, employs around 170 people and had a turnover last year of 22 million euros, the company statement said.
Both companies will continue to operate under their original names.