The deal will introduce a major new player on the electronic commerce scene bolstered by a combined annual revenue of approximately $75 million.
According to the parties, the new entity will rank among the top tier firms
in the world in terms of market reach, product capability, and financial
Bell Canada will assume a 65% controlling interest in MPACT Immedia,
in exchange for Bell Emergis’ EBS unit and $54 million in cash. The actual
transaction is expected to close at the end of August.
“The new company will offer customers in Canada and beyond a uniquely
comprehensive suite of electronic marketplace services,” said Jim Tobin,
Executive Vice-President of Bell Canada and President of Bell Emergis, who
will be the Chairman of the combined group.
Brian Edwards, the new President and CEO, said that the company’s mission
will be to offer network-centric telectronic business solutions that enable
and improve customer processes by digitizing information and transactions.
“With this transaction, we will become one of the largest electronic
commerce companies in Canada and around the world,” said Edwards.
The new company will be headquartered in Montreal, with offices in Toronto
and Ottawa, as well as Livonia, Michigan in the U.S.