Special announcement - Gloster has grown significantly with a major cloud deal

Special INFORMATION
‍

Gloster Infocommunications Public Limited Company (company registration number: 13-10-042012; registered office: 2142 Nagytarcsa, Csonka János Street 1/A, Building A/2; hereinafter: the Company, Gloster) hereby informs its esteemed investors of the following in accordance with applicable laws, in particular Act CXX of 2001 on the Capital Market (“Tpt.”) and the General Rules of the Budapest Stock Exchange.

Gloster has expanded significantly with a major cloud computing deal

The Systemfarmer merger has a significant value-creating impact

Systemfarmer Zrt., the cloud division subsidiary of Gloster Infokommunikációs Nyrt., has signed a three-year contract worth a total of more than 600,000 euros with an international energy company that employs more than 200,000 people in over 50 countries. The agreement is aimed at providing Microsoft cloud technology solutions to support digital transformation.

The deal is of significant magnitude for the cloud business unit and is in line with the long-term strategic goals set out in the Company’s Investor Presentation. Recurring revenues of this nature not only enhance the company’s competitiveness but also contribute significantly to the dynamic growth that the company’s management treats as a priority.

“It was a true team effort—the first major joint success resulting from the collaboration that began this spring between experts from the two cloud companies that are in the process of merging!” said László Ákos Földesi, head of Gloster Cloud’s business unit.

Background

The Gloster Cloud business unit was established on May 3, 2021, when the Company acquired Gloster Cloud Zrt., a Microsoft Gold partner[1]. Two and a half years after the acquisition, on February 16, 2024, an agreement was signed with the owners of Systemfarmer Zrt.—another cloud-based company—regarding the merger of Gloster Cloud Zrt. and Systemfarmer Zrt., thereby creating Microsoft’s largest domestically owned cloud service partner.  The goal of the transaction was to make the merged companies—set to combine on January 1, 2025—the market leader in Hungary and, within a few years, a major player in the region as well.[2] The parties successfully closed the agreement on August 15, 2024,[3] and effective September 1, 2024, László Ákos Földesi, one of the founders of Systemfarmer with 18 years of professional experience, took over the leadership of the business unit.[4]

The Cloud division grew by 19% in 2023.[5] Management expects growth to accelerate compared to last year.  

About Gloster

Gloster is a broad-spectrum international IT service provider listed in the BSE’s Standard category. Over the course of its more than 20-year history, it has evolved from a hardware-focused garage startup into a software-focused international mid-sized company. Thanks to Gloster’s aggressive growth strategy, it has completed eleven transactions since 2018 and expanded its operations into the areas of systems integration, cloud solutions, and international software development services. The group currently employs a team of nearly 350 people; according to its audited consolidated financial statements for 2023, its revenue was 10.3 billion forints, its adjusted EBITDA was 976 million forints, and its net income was 414 million forints.

‍

Nagytarcsa, September 18, 2024

Gloster Infocommunications Plc.

‍

Further information:

Dr. Adrienn Karlovich-Szabó

investor relations officer

karlovich.szabo.adrienn@gloster.hu

‍

[1] Gloster acquired a Microsoft Gold partner company https://gloster.hu/uploads/befektetoknek/kozzetetel/rendkivuli_tajekoztatasok/11722-Tajekoztatas_KingSol_akvizico.pdf

[2] Hungary’s largest domestically owned Microsoft cloud service partner is established https://gloster.hu/befektetoknek/kozlemenyek/018db079-f531-70f2-b2d8-4d3483f74cfa

[3] Special Announcement — A Major Domestic Microsoft Cloud Service Provider Is Formed Through the Merger of Gloster Cloud Zrt. and Systemfarmer Zrt. https://gloster.hu/befektetoknek/kozlemenyek/01915608-cf8a-7874-ab53-480f2dd1e25f

[4] Experienced executive takes Gloster Cloud’s business to the next level https://gloster.hu/befektetoknek/kozlemenyek/019197e7-8c43-791e-a2f4-66684eb28b23

[5] Investor Presentation on 2023 Results https://gloster.hu/uploads/befektetoknek/tarsasagra-vonatkozo-alapinformaciok/befektetoi-prezentacio/2023-eves-jelentes-prezentacio-662770ccea4b2.pdf