Softchoice Corporation Acquired by World Wide Technology for C$24.50 Per Share

Softchoice Corporation, a Canadian IT solutions provider primarily focused on software and cloud services, has entered into a definitive agreement to be acquired by World Wide Technology Holding Co., LLC (WWT), a global leader in technology solutions. This all-cash transaction values Softchoice at an enterprise value of approximately C$1.8 billion.

Transaction Overview

Under the terms of the agreement, WWT will acquire all outstanding common shares of Softchoice at a price of C$24.50 per share. This acquisition reflects a significant premium in valuation, providing Softchoice's shareholders with immediate liquidity and certainty of value. Shareholders representing about 51.3% of the outstanding shares have already shown their support for the deal.

Reasons for the Acquisition

Andrew Caprara, Softchoice's President and CEO, expressed enthusiasm about the acquisition, highlighting that WWT's scale and global presence complement Softchoice's offerings and target customer base. He stated that the combined capabilities of both companies will enhance their solutions in software, cloud, cybersecurity, and artificial intelligence.

Strategic Benefits

Jim Kavanaugh, WWT's CEO, emphasized the strategic value of integrating Softchoice's services, allowing WWT to better serve clients navigating digital transformation. The merger will also help strengthen WWT's reach among commercial and small to medium-sized business clients across North America and internationally.

Process and Conditions

The acquisition comes after a thorough review process overseen by independent directors and qualified advisors. The transaction will be executed through a statutory plan of arrangement and is subject to necessary shareholder and regulatory approvals, with expectations for completion in late Q1 or early Q2 of 2025.

Future Implications

Once the transaction closes, Softchoice shares will be delisted from the Toronto Stock Exchange, marking the end of its tenure as a public company. This acquisition is designed to create a unified entity that prioritizes innovation and inclusion, benefiting all stakeholders involved.

For more information about Softchoice and its services, you can visit their website at softchoice.com. Similarly, details on World Wide Technology are available at wwt.com.

acquisition, technology, cloud