"The new organisation will have the capabilities and scale to successfully compete for some of Australia's largest ICT contracts," said Nobuhiro Endo, president of NEC Corporation. "It also provides a comprehensive solution and services platform to strategically extend Asia Pacific business development opportunities for communications and IT solutions and services growth."
Mr Hyde noted that "The CSG Technology Solutions group has a strong government, large and medium sized enterprise customer base. Our ability to offer customers an end-to-end solution, encompassing business applications, IT and communications infrastructure and support as a managed service leveraging cloud technology will be unique."
ASX-listed CSG currently has more than 1500 staff. Headquartered in Darwin with offices around the country, it has customers in the education, financial services, government, mining and resources, and utilities sectors.
NEC is paying $227.5 million for the the two CSG subsidiaries, plus a potential earn-out payment of up to $32.5 million depending on earnings up to June 30, 2012.