December 16, 2013 - 8:28 AM
TORONTO, Cananda - Constellation Software Inc. (TSX:CSU) will pay the equivalent of about C$350 million to acquire Total Specific Solutions (TSS) BV, a Dutch software company with about 1,400 employees.
TSS focuses on several markets including health-care and government.
Constellation will initially finance the euro250-million transaction with a US$350-million one-year term loan. Before the loan matures, the company expects to refinance TSS on a stand-alone basis.
It expects the deal to close on Dec. 31, subject to standard conditions. TSS will then form a new operating group within Constellation.
Constellation shares have been on a fairly steady upward trajectory for several years and have nearly doubled in value since their low point of the year.
On Monday, the stock hit a new intraday high of $205.41 — up from a 52-week low of $111.09 set in February at the Toronto Stock Exchange.
News from © The Canadian Press, 2013