NEW YORK (Thomson Financial) - Ness Technologies Inc. Thursday said it will
sell its SAP sales and distribution division in Israel to SAP AG for about $30
million.
About $20.5 million will be paid at closing with additional payments of up
to $9.5 million over the next two years, subject to the satisfaction of certain
revenue performance conditions for 2008 and 2009, the company said.
The deal is expected to close in the third quarter.
Ness doesn't expect the deal to have a material effect on its
previously-released revenue and earnings outlook for 2008 and expects to
recognize a gain associated with the sale when it closes.
Ness shares closed at $10.16 on Wednesday. SAP shares closed at $51.48.
Christie Rizk
cr/pc
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