Edgewater Acquires Ranzal & Associates
Wakefield, MA – October 5, 2004 – Edgewater Technology, Inc. (NASDAQ: EDGW, “Edgewater” or “Company”), a custom development and systems integration consulting firm, today announced it has acquired Ranzal & Associates, Inc. (“Ranzal”), a premiere provider of business intelligence and business performance management solutions.
The acquisition will be accounted for as an asset purchase, with $5.2 million in cash paid in upfront consideration and a potential cash earn-out contingent upon meeting performance objectives over an 18-month period. The acquisition, which is expected to be accretive and add approximately $7.2 million in annualized revenues, will further provide Edgewater Technology with the ability to deliver corporate performance management solutions to a wide range of industries.
Edgewater Technology believes that acquiring Ranzal also achieves the following strategic goals:
- Provides new service offerings in Business Intelligence and Business Performance Management;
- Expands Company’s vertical expertise in areas such as healthcare, retail and insurance, while adding manufacturing/consumer packaged goods
- Enhances Company’s presence on the East Coast and provides access to the New York/New Jersey market;
- Leverages future growth opportunities of both organizations.
“We are delighted to welcome Ranzal’s staff and customers to Edgewater,” stated Shirley Singleton, President and Chief Executive Officer of Edgewater Technology, Inc. “The acquisition of Ranzal strengthens our capabilities in strategy and design, solidifies our east coast presence, and expands our vertical expertise and service offerings to the middle market, in particular in the high-growth area of Business Performance Management.”
“We’re very excited about becoming a part of Edgewater Technology. We are impressed with Edgewater Technology’s management and their vision for the future,” stated Robin Ranzal Knowles, President of Ranzal. ” Ranzal and Edgewater share a passion for providing customers with customized solutions to solve their complex and unique business needs. This shared vision will benefit both existing and new customers from both organizations.”
Randy Grigg, Managing Director with DecisionPoint International, served as an advisor to Edgewater on the transaction.
About Edgewater Technology, Inc.
Founded in 1992, Edgewater Technology, Inc. is an award-winning consulting and systems integration firm that specializes in tailored technology solutions for middle-market companies and divisions of Global 2000 companies. Headquartered in Wakefield, Massachusetts, the company has taken a partnership approach with its clients, targeting strategic, mission-critical applications. Edgewater Technology services its client base by leveraging a combination of leading-edge technologies and proven reengineering techniques provided by its network of national solutions centers strategically positioned across the United States. Founded in 1992, Edgewater Technology, Inc. is an award-winning consulting firm that specializes in combining strategic consulting, technical knowledge, and industry domain expertise to develop technology solutions that assist primarily middle-market companies and divisions of Global 2000 companies to align their processes with their purposes. This approach not only promotes increased efficiency, but also supports increased effectiveness. Targeting strategic, mission-critical applications, the Company collaborates with customers to translate business goals into technical strategies. Headquartered in Wakefield, Massachusetts, the Company services its client base throughout its network of strategically positioned solutions centers. For further information, visit www.edgewater.com.
About Ranzal & Associates, Inc.
Headquartered in White Plains, New York with office locations in Florida, Massachusetts and Virginia, Ranzal works hand in hand with corporate executives, line-of-business management, end users, and information systems departments to address the business issues and challenges inherent in data gathering, management, and dissemination. With 34 employees, Ranzal delivers solutions to organizations ranging from established Fortune 500 firms to businesses entering the new economy; spanning industries including healthcare, banking, finance, insurance, pharmaceuticals, utilities, consumer packaged goods, manufacturing, retail and biotechnology. By combining their expertise in rapid, enterprise-wide system development with the use of leading products such as Hyperion’s Essbase, Hyperion Planning, Hyperion Analyzer, Hyperion Reports, Hyperion Scorecard, Hyperion Business Modeling, Hyperion Financial Management, Microsoft’s Excel and development tools and IBM’s DB2 OLAP, Ranzal empowers clients to get the most out of their information and delivers solutions that fit each client’s specific business needs. Ranzal has partnerships with such as organizations as Hyperion, IBM and Microsoft.