the merger between Sitel and Majorel falls through

In a press release published on the Majorel Group website on September 19, the global provider of customer experience solutions for several international brands announced, together with its main shareholders Bertelsmann and the Moroccan Saham, that it had ended discussions with Sitel Group and the majority shareholder of Sitel, namely the Mulliez family, regarding this possible merger.

“A decision which follows intensive efforts to carry out the operation. The fact remains that, despite completed due diligence (i.e. all the checks carried out by an investor with a view to a transaction, editor’s note) and validated synergies between the two companies, the alignment does not could not be reached on the final structure of the transaction in the context of the current macroeconomic environment”, specifies the press release from Majorel.

On June 20, an agreement was signed between the shareholders of the two entities on the key terms of the proposed merger operation between Majorel and Sitel. The terminated combination would create one of the global leaders in the customer experience industry, with combined revenue of €5.4 billion and EBTIDA of over €1 billion. euro.

In the end the merger will not take place

One of the causes of the newly announced suspension would be the appearance of fundamental differences during the period of the talks, in particular during the phase during which the two partners must open their books of accounts. The main observation that has been drawn up refers to a “financial asymmetry in the debt capacity between the two companies”, according to a source quoted by Forbes magazine. One of the two parties would be over-indebted, unlike the other, thus alienating the chances of success of the merger, indicates the same source.

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