|
Wednesday November 27, 4:32 am ET
Sapiens Shareholders Approve Private Placement of $10 Million by Formula Systems
Over 60 Percent of the Shareholders Voted In Favor
RESEARCH TRIANGLE PARK, N.C.--(BUSINESS WIRE)-- Nov. 27, 2002 --Sapiens International Corporation (Nasdaq:SPNS - News), today announced that its shareholders have approved the private placement of $10 million by Formula Systems (Nasdaq:FORTY - News).
The transaction is scheduled to close early December 2002.
Sapiens shareholders' approval follows a unanimous decision of the Company's Board of Directors to accept Formula's proposal to invest an additional $10 million in exchange for a discounted conversion price of $0.83 per common share. As part of this transaction, Formula and Yarnfield will convert all of their preferred shares into common shares at the discounted price. Formula will have the option to invest the remaining $5 million at the same terms of the current investment.
"We are pleased with this vote of confidence from our investors," said Yuval Hadari, Chief Financial Officer. "This investment both strengthens our balance sheet and capital structure, and provides us with additional resources to accelerate our operational plan. Equally important is the emergence of the Formula group as our strategic shareholder. With the support of Formula, we have added stability for the short term and are better positioned to add value to our customers and shareholders in the days and years ahead."
About Sapiens International
Sapiens International Corporation (Nasdaq:SPNS - News) is a leading global provider of proven IT solutions that modernize business processes and enable insurance organizations and other leading companies to adapt quickly to change. Sapiens' modular solutions are widely recognized for their ability to cost-effectively align IT with the business demands for speed, flexibility and efficiency. Sapiens operates through wholly owned subsidiaries in North America, EMEA and Asia Pacific. The Company has partnerships with market leaders such as IBM and EDS and its clients include AXA, Liverpool Victoria, Norwich Union, OneBeacon, Principal Financial, Prudential, Abbey National, Honda, International Paper, Panasonic UK among others. For more information, please visit www.sapiens.com.
Except for historical information contained herein, the matters set forth in this release are forward-looking statements that are dependent on certain risks and uncertainties, including such factors, among others, as market acceptance, market demand, pricing, changing regulatory environment, changing economic conditions, risks in new product and service development, the effect of the company's accounting policies and other risk factors detailed in the Company's SEC filings.
Contact:
Padilla Speer Beardsley
Rebecca Green, +1-212-752-8338
e-Mail: rgreen@psbpr.com
 
|
 |
