The transaction is subject to official approvals and is expected to close this autumn.
S&T AG is a leading supplier of IT systems in Central and Eastern Europe, and of the services and solutions comprised in them. It operates in 32 countries around the world.
Meanwhile, Iskratel Group is a leading European provider of communications solutions for the digital transformation of the telecommunications, transport, public safety and energy industries. It has its own R&D and manufacturing centres and a global footprint in more than 50 countries.
Commenting on the transaction, Zeljko Puljis, CEO Iskratel, said: “The Iskratel Group has made a very clear and ambitious strategic plan which will be much more efficiently realised through numerous synergies within S&T AG. Faster portfolio development and market penetration, especially in areas of IIOT and 5G solutions, safe and smart communities, virtualization of access and core communication networks will be enabled through a stronger combined innovation and know-how, sourcing and sales network. We are also increasing human capital, which we continue to recognise as a crucial element in further success”.
Hannes Niederhauser, CEO S&T AG, added: “We have been following 5G developments for a long time, have identified applications ready for this technology, and expect to gain an advantage by strengthening our 5G product portfolio. Due to our synergies we will be able to increase Iskratel’s results to over 10% of EBITDA within the next two years. With this acquisition, we are positioning ourselves even more strongly for the future in our focus areas of smart factories and train radio for high-speed trains”.