Geac Computer Corporation
Encyclopedia
Geac Computer Corporation, Ltd (TSE: GAC and NASDAQ: GEAC) was a producer of enterprise resource planning, performance management, and industry specific software based in Markham, ON. It was acquired by Infor Global Solutions
in March 2006 for US$1 billion.
In the early 2000s, the company faced significant financial issues: in April 2001, the company’s US$225 million credit line was in default, and during FY2001, Geac posted a loss of US$169 million on revenues of US$552 million. Geac updated some of its legacy software replaced its management team, ultimately tapping its Chairman, Charles S. Jones, to be the CEO, Donna DeWinter to be the CFO (Ms. De Winter is currently CEO of Nexient Learning), and made Craig Thorburn the Senior Vice President of Acquisitions (while he was a Partner at Blake, Cassels & Graydon). Geac then paid off its bank loans, and significantly improved its profit margins, and its stock began to increase. It listed on the NASDAQ. It also embarked on a strategy of establishing a single focus for its software products around selling software to the Chief Financial Officer of client organizations. It profitably divested its real estate software operations after making it profitable and a growing business, and acquired two business performance management companies: Comshare (NASDAQ: CSRE) and Extensity (NASDAQ: EXTN). Geac also obtained a $150 million credit line and fended off a proxy fight
brought by Crescendo Partners.. In March 2006, the company was acquired by Infor Global Solutions for US$1 billion, or $11.10 per share, compared to US$1.12 five years earlier, providing the investors a 10x return. In Fiscal 2001, the company posted a US$169.1 million loss, and in fiscal 2005, Geac posted net income of US$77 million.
After it was acquired, several executives of Geac, including CEO Charles S. Jones, left the company to form Bedford Funding, a private equity fund that invests in software companies.
Anael
Expert & Millennium Server
MPC
RunTime
SmartStream
System21
VUBIS
Infor Global Solutions
Infor Global Solutions is a privately held U.S. software company that specializes in enterprise software ranging from financial systems and resource planning to supply chain and customer relationships.-Company overview:...
in March 2006 for US$1 billion.
History
Geac was founded in 1971, and originally sold software for batch processing. It introduced its library management software in 1977. During the 1990s the company successfully embarked on an aggressive acquisition strategy led by Steve Sadler, CEO, and expanded into a wide range of vertical markets, including newspaper publishing, health care, hospitality, property management, and others. Its 1999 acquisition of JBA Holdings PLC by the new leader, Doug Bergeron, Geac CEO, doubled the size of the company, but became a financial disaster. Geac’s acquisitions were not aligned to any customer focused strategy: they covered a wide range of products and geographies, and many analysts accused Geac of “financial engineering”.In the early 2000s, the company faced significant financial issues: in April 2001, the company’s US$225 million credit line was in default, and during FY2001, Geac posted a loss of US$169 million on revenues of US$552 million. Geac updated some of its legacy software replaced its management team, ultimately tapping its Chairman, Charles S. Jones, to be the CEO, Donna DeWinter to be the CFO (Ms. De Winter is currently CEO of Nexient Learning), and made Craig Thorburn the Senior Vice President of Acquisitions (while he was a Partner at Blake, Cassels & Graydon). Geac then paid off its bank loans, and significantly improved its profit margins, and its stock began to increase. It listed on the NASDAQ. It also embarked on a strategy of establishing a single focus for its software products around selling software to the Chief Financial Officer of client organizations. It profitably divested its real estate software operations after making it profitable and a growing business, and acquired two business performance management companies: Comshare (NASDAQ: CSRE) and Extensity (NASDAQ: EXTN). Geac also obtained a $150 million credit line and fended off a proxy fight
Proxy fight
A proxy fight or proxy battle is an event that may occur when a corporation's stockholders develop opposition to some aspect of the corporate governance, often focusing on directorial and management positions. Corporate activists may attempt to persuade shareholders to use their proxy votes A proxy...
brought by Crescendo Partners.. In March 2006, the company was acquired by Infor Global Solutions for US$1 billion, or $11.10 per share, compared to US$1.12 five years earlier, providing the investors a 10x return. In Fiscal 2001, the company posted a US$169.1 million loss, and in fiscal 2005, Geac posted net income of US$77 million.
After it was acquired, several executives of Geac, including CEO Charles S. Jones, left the company to form Bedford Funding, a private equity fund that invests in software companies.
Acquisitions
Geac made numerous acquisitions during its existence, including:- Advanced Business Technologies
- Clarus Corporation (Assets)
- Claymore Systems Group
- Collier-Jackson, Inc.
- Comp-Tech Incorporated
- Compro
- Comshare
- Control Transaction Corporation
- Convergent Solution Pty. Ltd.
- Cruickshank Technology Pty.
- Cybergraphic Group
- Datamark International Limited
- DDN Holdings Northern Ltd.
- Dun & Bradstreet Software ServicesD&B SoftwareD&B Software was formed by the merger of the Management Science America and McCormack & Dodge companies in June 1990, under the ownership of the Dun & Bradstreet corporation. The separate company headquarters, located in Massachusetts and Atlanta, were retained with videoconferencing used for...
- EBC Informatique
- ECI Computer Inc.
- Extensity
- Fasfax Corporation
- Florida Computer & Network
- FGH Decision Support Systems
- Gazette Technologies
- Hotel Computer Systems Limited
- Hotel Systems Pty. Limited
- JBA Holdings plc
- JBA Italia s.r.l.
- LIBRA Corporation Signature Division
- Management Data GmbH
- Matrix Publishing Systems
- MJC Systems Spol. S.r.o.
- New Tech Hospitality Systems Ltd.
- News Holding/Interealty
- OCS Technology Public Safety Unit
- Perc Technical Services
- Phoenix Systems Ltd.
- Praxa Limited
- Princeton Network Systems
- Pro-Mation, Inc.
- Real Estate Unit, GTE Enterprise
- Remanco International
- RunTime A/S
- Software Shop Systems, Inc.
- Soluzioni Gestionali srl
- Stowe Computing Australia
- Stowe Computing (NZ) Limited
- Technology Services Group
- Tranti Systems Inc.
- TWG Technologies
Products
Products that Geac produced included the following:Anael
Expert & Millennium Server
MPC
RunTime
SmartStream
System21
VUBIS