Enterprise ASP Corio Inc. strengthened its SAP offering this week through the acquisition of Nexus Technology, an applications management, hosting and professional service provider with a specialty in SAP enterprise applications.
“This acquisition adds significant customer relationships and deepens our domain expertise with SAP application services,” said George Kadifa, chairman and CEO of Corio. “We have established clear leadership in the SAP market segment.”
Nexus Technology Inc., founded in 1997, has been involved in over ninety SAP implementations and currently provides remote and fully hosted SAP applications management services to over 35,000 subscribed users. Corio has acquired substantially all the assets and has hired employees of Nexus including Dean Adamopoulos, CEO of Nexus, who will assume leadership of Corio’s SAP business practice.
The acquisition is in the form of an asset purchase and the consideration paid by Corio at closing is approximately $10.0 million, consisting of $1.9 million in cash and 2,921,390 shares of Corio common stock. In addition, Nexus will be entitled to receive an earn-out payment of up to $2 million to be paid in Corio common stock based on achievement of financial goals.
“We are delighted to join Corio,” said Dean Adamopoulos, CEO at Nexus. “Corio shares our customer-centric culture. In addition, the combination of both companies’ application management expertise and Corio’s financial strength will increase the range and raise the level of service we provide to our customers.”