Copperleaf finalizes $1bn acquisition agreement with Swedish firm

IFS plans to enhance Copperleaf’s capabilities in Vancouver, maintaining the local team as central to strategy

Copperleaf finalizes $1bn acquisition agreement with Swedish firm

Copperleaf Technologies Inc. (Copperleaf) has entered into a definitive arrangement agreement with Industrial and Financial Systems, IFS AB (IFS).  

Under this agreement, IFS will acquire all outstanding common shares of Copperleaf for $12.00 in cash per share. This transaction values Copperleaf at approximately $1bn on a fully diluted basis.   

The offered price represents an 18 percent premium to the closing price on the Toronto Stock Exchange on June 10, and a 66 percent premium to the 90-day volume weighted average trading price of Copperleaf shares as of the same date. Compared to the closing price on May 3, the premium is 70 percent.    

The integration of Copperleaf's AI-powered Asset Investment Planning and Management (AIPM) solutions with IFS's Enterprise Asset Management (EAM) focus is expected to enhance support for their customers.  

IFS plans to invest in Copperleaf's capabilities in Vancouver, maintaining these teams as central to the combined organization's strategy. 

Amos Michelson, chair of Copperleaf, views this transaction as a significant milestone, reflecting IFS's belief in Copperleaf and rewarding shareholders with immediate value and liquidity. Darren Roos, Chair of IFS, highlighted the value this combination brings to asset-intensive customers.   

Paul Sakrzewski, CEO of Copperleaf, emphasized the complementary nature of both companies, enhancing their ability to generate value for clients, partners, and employees.  

Mark Moffat, CEO of IFS, expressed excitement about integrating Copperleaf's offerings, citing shared principles and innovative technology.   

The transaction, subject to customary conditions, court and regulatory approval, and shareholder votes, is expected to close in the third quarter of 2024. Upon completion, Copperleaf's shares will be delisted from the TSX, and it will cease to be a reporting issuer under Canadian securities laws.