HERZLIYA, Israel, June 15 /PRNewswire-FirstCall/ -- BluePhoenix Solutions Ltd. , the leader in value driven legacy modernization, today announced that it has been informed by its major shareholder, Formula Systems (1985) Ltd., that Formula entered into an agreement to sell 8,038,526 ordinary shares of BluePhoenix to international institutional investors, representing approximately 46% of the outstanding share capital of BluePhoenix.
Upon consummation of this transaction, Formula will no longer own any ordinary shares of BluePhoenix. Some or all of Formula's director designees will resign from BluePhoenix's board of directors shortly following the completion of the transaction.
The completion of the purchase of the ordinary shares is expected to take place on June 18, 2007 and is subject to customary closing conditions.
About BluePhoenix Solutions (http://www.bphx.com/)
BluePhoenix Solutions is a leading provider of value driven modernization solutions for legacy information systems. BluePhoenix's offering includes a comprehensive suite of tools and services from global IT asset assessment and impact analysis to automated database and application migration, rehosting and renewal. Leveraging over twenty years of best practice domain expertise, BluePhoenix works closely with its customers to ascertain which assets should be migrated, redeveloped or wrapped for reuse as services or business processes, to protect and increase the value of their business applications and legacy systems with minimized risk and downtime.
BluePhoenix's solutions serve companies from diverse industries and vertical markets such as automotive, banking and financial services, insurance, manufacturing and retail. Among its prestigious customers are: Aflac, DaimlerChrysler, Danish Commerce and Companies Agency, Europe Assistance, Lawson Products, Los Angeles County Employees Retirement Association, Merrill Lynch, SDC Udvikling and TEMENOS. BluePhoenix has 13 offices in the U.S., UK, Denmark, Germany, Italy, Romania, Russia, Cyprus and Israel.
SAFE HARBOR: Certain statements contained in this release may be deemed forward-looking statements, with respect to plans, projections, or future performance of the Company, the occurrence of which involves certain risks and uncertainties that could cause actual plans to differ materially from these statements. These risks and uncertainties include but are not limited to: market demand for the Company's tools, successful implementation of the Company's tools, competitive factors, the ability to manage the Company's growth, the ability to recruit and retrain additional software personnel, and the ability to develop new business lines. This press release is also available at http://www.bphx.com/. All names and trademarks are their owners' property.
Company Contact:
David Leichner
Investor Relations
BluePhoenix Solutions
+972-9-9625-105
