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Image header Agence Europe
Europe Daily Bulletin No. 8922
Contents Publication in full By article 26 / 31
GENERAL NEWS / (eu) eu/competition

Green light for acquisition of Edinfor by EDP and LogicaCMG

Brussels, 06/04/2005 (Agence Europe) - The European Commission has granted clearance to the acquisition of joint control of Edinfor Sistemas Informáticos, of Portugal by LogicaCMG Corporate Holdings Ltd, controlled by LogicaCMG of the UK and Energias de Portugal (EDP), of Portugal. EDP's core business is the generation, distribution and supply of electricity. The EDP group is also active in telecommunications and information technology through its wholly owned subsidiary, Edinfor. LogicaCMG group is the provision of IT services to clients on a worldwide basis and will buy out 60% of EDP for an estimated EUR 81 million. EDP will keep 40% of the remainder but will nonetheless have a valuable sales option in two years time, while LogicaCMG will be able to exercise a sales option on Edinfor shares in four years' time. This agreement means that LogicaCMG has also signed a contract for subcontracting information technology with EDP for 10 years for EUR 510 million. The operation was examined under the simplified merger review procedure.

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