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SAP to Acquire Syclo, Extends Leadership in Mobilizing the Enterprise

In a move that will drive innovation in mobile solutions for businesses of all sizes, SAP AG (NYSE: SAP) announced plans to acquire Syclo, a leading provider of enterprise mobile applications and technologies.

The addition of Syclo’s expertise in building and selling mobile solutions in industries such as utilities, oil & gas, life sciences and manufacturing will immediately enhance SAP mobile solutions. It will also accelerate the adoption and deployment of new mobile asset management and field service solutions on Sybase® Unwired Platform, part of the SAP® mobile platform and the company’s infrastructure for developing and managing mobile apps. The announcement was made at a press conference held this morning in San Francisco.

The move by SAP comes as businesses increasingly adopt smart devices and enterprise mobility in the workplace. Mobile phones are expected to overtake PCs as the most common Web access device worldwide by 2013, according to Gartner Inc. The acquisition is the latest step by SAP in its strategy to drive growth and innovation in core applications, analytics, enterprise mobility, cloud and database and technology.

"With this acquisition, SAP adds momentum to our already powerful mobile portfolio, advancing our vision and leadership while accelerating our mobile apps," said Sanjay Poonen, president, Global Solutions, SAP. "Syclo brings both domain-savvy expertise and industry-leading solutions, as recognized by customers and analysts. This will drive innovation and mobility in the workplace."

Focusing exclusively on enterprise mobility solutions, Syclo has more than 600 customers in 39 countries across all major asset and mobile-intensive industries. An established SAP partner, Syclo offers mobile apps that help companies extend business systems to a wide range of mobile devices and users. Syclo’s expertise and technology offers a mature set of applications that complement SAP in key mobile areas such as enterprise asset management (EAM), field services, inventory management and approvals/workflow, and represents a significant growth opportunity for SAP. Following the close of the transaction, Syclo apps will be integrated with the SAP mobile platform and SAP® Afaria® for mobile device management and security. The combination of SAP and Syclo will create a unique solution provider in the industry with market-leading mobile enterprise applications integrated with a world-class business suite.

"Syclo and SAP have cultivated a strong partnership, and today’s announcement is the next step in delivering a fully-integrated mobile platform and enterprise application portfolio to both Syclo and SAP customers," said Rich Padula, CEO, Syclo. "Together, we will expand and accelerate our ability to help businesses run better through mobility."

Enterprise Apps to Unwire the Enterprise

As companies increasingly enable their employees to do more of their work on smart and "ruggedized" devices, the combination of SAP and Syclo promises businesses a growing selection of enterprise-grade mobile apps. Building on Syclo’s Smart Mobile Applications Suite and SAP® Business Suite software, the combined companies will serve traditional mobile employees as well as an increasing number of employees in other roles who are embracing smart devices in the workplace. The infusion of expertise from both Syclo and its partner network to the open SAP ecosystem will increase opportunities for co-innovation, creating new solutions for customers and opportunities for partners in markets around the world.

Upon receipt of applicable regulatory approvals and satisfaction of certain other conditions, SAP will acquire 100 percent of Syclo’s equity. Syclo’s solutions will become part of the SAP mobile solution portfolio, and Syclo’s employees will join SAP. Financial terms of the deal were not disclosed. The transaction is expected to close in the second quarter of 2012.

 [April 11, 2012]


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