France’s Dassault agrees to acquire Canadian Gemcom Software

French software and consulting services group Dassault Systemes SA (EPA:DSY) has revealed it will take over Canadian mining industry software provider Gemcom Software International Inc in a cash deal worth around USD360m (EUR272.3m).

Bernard Charles, Dassault Systemes’ president and CEO, said the combination of Gemcom with the group’s 3D Experience platform would help its goal to model and simulate the planet with the aim of improving predictability, efficiency, safety and sustainability within the natural resources sector.
As a step towards that ambition, Dassault Systemes has created the new GEOVIA brand, the CEO added.

In turn, Gemcom expects the combination to enable it to offer global support to its customers and address global issues for them as a real partner, said its president and CEO, Rick Moignard, who will head the new GEOVIA organisation as CEO after the deal.

The transaction will also boost the buyer’s geographic presence in Australia, Africa, Canada, South America, Kazakhstan, Mongolia, Indonesia and Russia, it said.

Gemcom’s 360 staff and management will remain in place, with its managers to further develop Dassault Systemes’ strategy of modeling the natural world.

Completion, subject to regulatory clearance, among other conditions, is expected in July 2012.

Gemcom is currently owned by JMI Equity Fund VI LP, The Carlyle Group LP and Pala Investments Holdings Limited. Its solutions are used in 5,500 operating mines and around 15,000 mining projects by all major miners in the world.