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Monday, 31 August 2009 08:34

NTT Data completes acquisition of Oz SAP services provider

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Japanese IT services group, NTT Data, has completed its acquisition of Australian SAP services company, Extend Technologies, as part of a strategy to expand its global SAP consulting business, by taking up a 51 percent shareholding in Extend.

The acquisition follows NTT Data’s acquisition in August last year of Cirquent, previously an owned subsidiary of BMW, and its January 2008 acquisition of itelligence, a SAP global service and global hosting partner. 

Extend managing director, Max White, said operationally, Extend will continue to function on a “business as normal basis” with workforce, management structures and branding remaining unchanged.
 
White said the partnership established a presence for NTT Data in the Oceania region for the first time, and was a “win for customers, employees, stakeholders and SAP.

“It combines the power of a dominant global ITTC integrator with one of the fastest growing software solutions companies in Australia.  Extend has grown rapidly during the last six years providing solutions to high profile brand name companies.”

According to White, the partnership with NTT Data will open up new business and growth opportunities for Extend via the existing NTT Data global network, which he said reaches into the Asia Pacific region and beyond. “It will provide us with access to new resources and expertise, which will benefit our customers and provide our business and our people with exciting opportunities and new challenges.  A singular focus on SAP as the strategic enterprise backbone of choice will deliver unparalleled value to our customers. 

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White said Extend had grown rapidly in Australia since its launch in 2003, and he maintained the company’s success was based on “deep relationships with customers, innovative thinking, a supportive working environment, a dynamic management team and a commitment to superior customer service,” adding that NTT Data demonstrated a “similar culture and shared values, which was a key driver for the agreement.”

Extend will work with the existing NTT Data organisation in Asia Pacific and Japan and with itelligence in Europe and the US to deliver SAP solutions to regional and multinational customers, and according to White the partnership will enable Extend to tap into the regional growth opportunity with organisations that are expanding across the Asia Pacific region, a market opportunity he says is estimated to be worth US$3 billion by 2012.
 
SAP Australia New Zealand president & CEO, Tim Ebbeck, said Extend Technologies was a highly valued SAP partner,” and he said the company was “the power behind a number of lighthouse SAP customers and they make a significant contribution to the SAP ecosystem in Australia.  Through their work in the SAP ecosystem Extend is enabling SAP to fulfill our strategic purpose to make the world run better.”

Ebbeck said the acquisition of Extend by NTTD would enable many more companies to benefit from Extend’s “winning culture and innovation across the Asia Pacific region,” and it would also “open up a significant regional market opportunity for Extend customers and their people, providing access to global resources and reach.”

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