ST. LOUIS, July 2, 2015 (GLOBE NEWSWIRE) -- Amdocs (NASDAQ:DOX), the leading provider of customer experience solutions, today announced that it has completed the acquisition of a substantial majority of Comverse's business support systems (BSS) business unit assets, for approximately $273 million in cash, including its converged, prepaid, postpaid and Kenan billing assets. The acquisition geographically complements Amdocs' existing activities by expanding and diversifying the company's global customer base, particularly in Europe, Asia-Pacific and Latin America, where Comverse has a wide BSS customer footprint.
"We are delighted to be welcoming Comverse BSS customers to Amdocs, and we very much look forward to working with these customers and their partners as we build a long-term relationship together," said Eli Gelman, president and chief executive officer of Amdocs Management Limited. "Following this acquisition, Amdocs will be able to bring additional value, innovation and a broader range of offerings and services to many Comverse BSS customers."
Consistent with guidance provided on April 29, 2015, Amdocs expects the acquisition of the Comverse BSS assets to contribute revenue in the low tens of millions of dollars for the first couple of quarters after closing. The impact of the acquisition on Amdocs' diluted non-GAAP earnings per share (excluding amortization of purchased intangible assets and other acquisition related costs and equity-based compensation expense, net of related tax effects) is expected to be neutral in the first year after closing and accretive thereafter. The impact on diluted GAAP EPS will be finalized after Amdocs completes the purchase price allocation. Amdocs expects to incur acquisition-related expenses related to operating adjustments, restructuring charges and other acquisition-related costs. Further information relating to the financial impact of this acquisition for fiscal year 2015 will be provided on Amdocs' third fiscal quarter results conference call on July 29, 2015 at 5:00pm Eastern Time.
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For more than 30 years, Amdocs has ensured service providers' success and embraced their biggest challenges. To win in the connected world, service providers rely on Amdocs to simplify the customer experience, harness the data explosion, stay ahead with new services and improve operational efficiency. The global company uniquely combines a market-leading BSS, OSS and network control and optimization product portfolio with value-driven professional services and managed services operations. With revenue of $3.6 billion in fiscal 2014, Amdocs and its more than 22,000 employees serve customers in over 80 countries.
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Amdocs' Forward-Looking Statement
This press release includes information that constitutes forward-looking statements made pursuant to the safe harbor provision of the Private Securities Litigation Reform Act of 1995, including statements about Amdocs' growth and business results in future quarters. Although we believe the expectations reflected in such forward-looking statements are based upon reasonable assumptions, we can give no assurance that our expectations will be obtained or that any deviations will not be material. Such statements involve risks and uncertainties that may cause future results to differ from those anticipated. These risks include, but are not limited to, the effects of general economic conditions, Amdocs' ability to grow in the business markets that it serves, Amdocs' ability to successfully integrate acquired businesses, adverse effects of market competition, rapid technological shifts that may render the Company's products and services obsolete, potential loss of a major customer, our ability to develop long-term relationships with our customers, and risks associated with operating businesses in the international market. Amdocs may elect to update these forward-looking statements at some point in the future; however, the Company specifically disclaims any obligation to do so. These and other risks are discussed at greater length in the Company's filings with the Securities and Exchange Commission, including in our Annual Report on Form 20-F for the fiscal year ended September 30, 2014 filed on December 8, 2014 and our quarterly 6-K form furnished on February 9, 2015 and May 11, 2015.
CONTACT: Media Contact: Sara Preto Fusion PR for Amdocs Tel: +1-212-651-4214 E-Mail: firstname.lastname@example.org