Wiit — M&A Activity 2022

Sep 5, 2022

WIIT takes your business above the clouds.

Lansol Acquistion

September 2022

In a nutshell

WIIT, through its 100% owned subsidiary, acquires LANSOL for 18M euro of Enterprise Value corresponding to an implicit multiple of 9x 2022 EBITDA, before expected yearly synergies of 1M euro

Leader of PAAS (Platform As A Service) solutions in Germany

6,6 M€ 2022 Revenues 2 M€ 2022 EBITDA(30%) 1,6 M€ 2022 EBIT(24%) 15% CAGR (2019-2022)

WIIT & M&A

YTD M&A Journey

Germany

Revenues 51.8 M€ 50.3% of Group Revenues

EBITDA 18.6 M€ 50.7% of Group EBITDA

KEY FY2021 FIGURES BY COUNTRY

Source: WIIT 2021 Proforma Highlights

After a successful acquisition and integration of ERP tech in Italy, Germany continues to represent a key area for organic and M&A growth

M&A STRATEGY: EUROPE IS OUR HOME

Profile

• I. Cloud players with a business model comparable to WIIT and multiannual contracts schemes
• II. IT players which can be considered part of the current WIIT Value Chain (for instance Datacenter, Cloud IaaS), have a client base suitable to an up-selling strategy and possibly multiannual contracts
• III. Strong tech capabilities to facilitate growth of talents (HR) and value added services

EUROPE (DE, ITA, FR, CH, NORDICS)

Market share + Growth boost + Synergies

LANSOL is a perfect pairing…

LANSOL deal at a glance

Highlights

LANSOL is the leading provider in Germany for PAAS (Platform As A Service) solutions for the tax & accounting industry and other verticals, in line with the high added-value proposition already present in Italy

6,6 M€ 2022 Revenues 2 M€ 2022 EBITDA(30%) 1,6 M€ 2022 EBIT(24%) 15% CAGR (2019-2022)

98% recurring revenues Contract > 36 months

• 600 clients PAAS Offering FOCUS ON VERTICALS 24 Employees MULTIPLIER/INDIRECT CHANNEL

REASONS WHY

EXPANSION/ CONSOLIDATION IN GERMANY This acquisition constitutes an opportunity of further consolidation of the German market on all the possible dimensions: from revenues and profitability to human skills and geographical positioning in a very reach district in terms of opportunities

BUSINESS MODEL / GO TO MARKET

LANSOL will open a new way to approach the German market (ISVs and indirect channel in general) as Etaeria did in Italy in 2019…perfect match for wiit search…

STILL ACTRACTIVE MULTPLE

The multiple used for EV calculation is a little bit higher than our usual average but still very attractive, especially post cost synergies and considering that LANSOL is a PAAS provider, namely a company already with high value services

COST

SYNERGIES Strong synergies expected also in this acquisition

Cost Synergies Other Synergies

Data center Consolidation

Lay-offs

Strong efficiencies on purchase costs 1M (per year)

Skills

Business Model

STRUCTURE & FINANCING

The deal will be finalized using the Company liquidity without any new debt or capital increase

WIIT will acquire 100% of the company trough the 100% owned myLoc.

STAY TUNED…

DACH Region has still lot to give to our story

ir@WIIT.cloud WIIT.cloud