Acquisitions
On 27 August 2007, Transcom announced that it had acquired 100% of NuComm International for $90 million CAD (€63 million). An initial payment of $50 million CAD (€35 million) was paid with the remainder being subject to a two tier earn-out ending in December 2008. The earn-out was based on a multiple of operating profit, capped at a maximum of 9x EBIT for the complete deal.
NuComm had revenues of $122 million CAD (€85 million) for the twelve months ended 31 July 2007. Réal Bergevin, the founder and CEO of NuComm, signed a contract to remain with the business under the new ownership.
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