Inventio, a subsidiary of investment in information technology businesses company INVL Technology, acquired 100 per cent shares of information system development company Algoritmu sistemos for EUR 2.385 million.
The acquisition was completed on 18th March 2016, after the permits had been issued by the Competition Council and the Commission for the evaluation of compliance of potential buyers to the national security interests.
In 2015, revenue of Algortmu sistemos increased by 22 per cent and reached EUR 2.768 million, while net profit increased by 18 per cent and reached EUR 386 thousand.
“Algoritmu Sistemos operating results for 2015 demonstrate that the portfolio of INVL Technology has been supplemented by a company with a firm position in the market as well as strong growth potential. We will seek to ensure that company maintains steady operations in Lithuania and assist Algoritmu sistemos in expansion to frontier markets. For example, we see the potential of electronic elections systems, e-tax collection systems, e-health solutions and other public administration systems to be offered in East Africa as well as South and Southeast Asia”, commented the director of INVL Technology Kazimieras Tonkunas.
The founder and the chairman of the Board of Algoritmu sistemos Rimgaudas Zaldokas will continue serving on the Board of the company together with INVL Technology representatives Vytautas Plunksnis and Vida Juozapaviciene, who were also elected to the Board. Current director of the company Elena Vengriene will remain in her position, too. There are also no other foreseen changes in the management or employees of the company.
“The company will continue implementing the ongoing projects and seek to ensure steady growth while utilising the opportunities provided by close cooperation with other INVL Technology managed companies. We will have access to a group of specialised experts, intellectual capital developed by the companies, portfolio of their services and sales channels in frontier markets”, commented Mr Zaldokas.
Algoritmu sistemos, UAB develops high quality, effective and reliable information systems and business process facilitating programs for large and medium-sized public organizations and enterprises. Main fields of company activity include: e-governance, e-health, finance, social security, environmental protection and education. The largest clients in Lithuania are the State Tax Inspectorate under the Ministry of Finance, the State Labor Inspectorate, the National Health Insurance Fund under the Ministry of Health, the State Enterprise Centre of Registers, the Bank of Lithuania, Vilnius University, the Western Shipyard Group, and many others.
INVL Technology operates as a cluster of B2B- and B2G-oriented IT businesses with a focus in four key areas: business climate improvement and e-governance, IT infrastructure, cyber security and IT intensive industries‘ solutions.
The largest INVL Technology investments currently are companies in Lithuania, Norway, Tanzania, Uganda and Rwanda: Norway Registers Development AS with subsidiaries NRD UAB, ETRONIKA UAB, Norway Registers Development East Africa Ltd, Norway Registers Development Rwanda Ltd and Infobank Uganda Ltd, BAIP UAB with subsidiary Acena UAB and NRD CS UAB.