Sopra Steria

Clarification of the Group's Strategy and Plan to Focus on Digital Services and Solutions

Regulatory News:

Sopra Steria (Paris:SOP), a major tech player in Europe, announces its intention to sell most of Sopra Banking Software’s operations to Axway Software, representing annual sales of around €340m, for an enterprise value of €330m. As part of this project, Sopra Steria also intends to sell 3.619 million of Axway shares to Sopra GMT, at a price of €26.5 per share for an amount of €95.9m.

Sopra Steria is actively pursuing an independent model that creates sustainable value for its stakeholders. In this context, the Group is clarifying its strategy with the announcement of its intention to sell its banking software operations.

Sopra Banking Software was created in 2012 by capitalising on banking software assets from Sopra’s legacy and several acquisitions that significantly enhanced its core banking and specialised credit offerings. The strategy developed by Sopra Banking Software is to be a high-value business software provider. It has more than 650 clients worldwide, including the 10 largest European banks and half of the banks in Africa. 250 banks in Europe use Sopra Banking Software’s payment solutions.

This project fits Sopra Steria's ambition to strengthen its presence in Europe and to focus its investments on consulting and digital services in its strategic market verticals: financial services, defense & security, aerospace and public sector. The Group aspires to become a compelling European alternative to global players, in particular to provide solutions to its major European clients’ digital sovereignty challenges.

In this respect, the project announced today would entail a global operation with two indivisible components: the sale by Sopra Steria to Axway Software of most of Sopra Banking Software’s activities on the one hand, and the sale by Sopra Steria to Sopra GMT of 3,619 million of Axway securities on the other.

Regarding the disposal of the majority of Sopra Banking Software’s activities to Axway Software, the scope in question generated around €340m of revenue during fiscal year 2023, which represents approximately 80% of Sopra Banking Software's entire business. Retained activities would consist of services or project activities for large banks or financial institutions which will continue to contribute to Sopra Steria’s ambitions in the financial services market.