Inin Group AS — M&A Activity 2020

Nov 25, 2020

Elop AS: Strategic breakthrough for Simplifai

Elop AS: Strategic breakthrough for Simplifai

24 November 2020 – Simplifai AS (Simplifai) has secured a breakthrough agreement for its e-mailbot technology in the bank sector.

“This is a strategically important contract at it verifies that our e-mailbot artificial intelligence solution meets the bank industry’s extremely high security requirements and can be integrated into a bank’s IT set-up and architecture. Hence, this agreement is a door-opener for this technology towards a giant global bank industry,” says Bård Myrstad, CEO of Simplifai.

An e-mailbot is a tool that automatically handles large amounts of incoming e-mails. The bot analyses and processes the content of each e-mail and performs actions based on this information. It can be adapted to suit the specific needs of companies and industries. The e-mailbot is continuously trained and improved via machine learning through a tagging and language engine.

Simplifai’s breakthrough contract is with Norwegian cooperative bank, Landkreditt Bank. Landkreditt Bank offers a full range of financial services to personal customers as well as to business customers, mainly in the agricultural sector.

“Landkreditt is a finance company focusing on self-service and automation in order to deliver good services and low prices to our customers. We are looking forward to further utilise new tools and technologies. The agreement with Simplifai is yet another step on our journey to provide solutions and products that are cost effective and provide a good customer experience,” says Einar Storsul, CIO of Landkreditt.

Under the agreement, Landkreditt Bank will pay Simplifai an undisclosed fixed monthly fee to deliver the AI-driven e-mailbot solution. The bank has options to increase the usage area of the e-mailbot, which will then increase the fixed monthly fee.

“The contract represents an important strategic development for us. It verifies our business model as it scales with the benefits created for Landkreditt. We see a significant growth potential going forward in this relationship. Plus, the recurring revenue agreement is in line with our business model,” says Bård Myrstad.

Simplifai develops automation solutions using artificial intelligence to help its clients grow and cut costs. Its business concept is to develop automation systems that give business managers one tool to extract the value from all their existing systems.

On 6 November 2020, Elop announced a letter of Intent had been sighed between Elop and Simplifai, based on Elop taking over all the shares of Simplifai in a 100 percent share-based deal. Through partnering with Simplifai, Elop obtains technological and commercial resources that enable the company to move faster towards a commercially viable data driven, cloud-based software as a service business model. The final share purchase agreement is expected to be signed this quarter. The transaction is conditional on successful due diligence of Simplifai, Board approvals by Elop and Simplifai, and an extraordinary general meeting in Elop.

For further information, please contact:

Media

Bård Myrstad, CEO of Simplifai, tel: +47 415 03 263

Kjersti Kanne, CEO of Elop, tel: +47 480 31 075

Investors

Øivind Horpestad, chairman of Elop AS, tel: +47 910 00 626

Torbjørn Blom-Hagen, CFO of Elop AS, tel: +47 926 48 847