UTIB INVL Technology : Novian group broadens its software services expertise with acquisition of Elsis PRO – marketscreener.com

Information systems and software developer Elsis PRO has joined the Novian IT infrastructure and software services group. The acquisition was finalized on 22 October after clarification that Commission for Assessment of Conformity of Potential Participants to National Security Interests would not review the transaction, and there is no obligation to obtain permission from Lithuania’s Competition Council due to the target’s turnover not exceeding the relevant thresholds in Lithuania. The agreements to buy 100% of Elsis PRO’s shares was signed by the Novian group company Novian Systems. The value of the transaction is not being made public. Novian group has been advised on all transactional legal matters by law firm Cobalt.
“We are delighted with the addition of Elsis PRO. It will not only expand the Novian group’s software development competencies and capabilities in the fields of aviation, transport and energy, but will also mark the start of a strategic partnership with the Elsis group,” said Evaldas Rėkus, the CEO of the Novian group. He said Elsis PRO will continue collaborating with the Elsis group to implement joint projects they have begun and will provide that group with programming and other services related to Elsis PRO’s activities. 
“The clients of Elsis PRO, for their part, will now be able to benefit from the expertise of the Novian group’s other companies in the areas of technology and digitalization and obtain integrated IT services,” the CEO added.
The head of the Elsis group and chairman of the board at Elsis PRO, Arūnas Gedvila, agreed the transaction was mutually beneficial. “We value the Novian group’s experience and range of IT solutions. We believe a partnership like this will benefit the clients of both groups and will expand Elsis PRO’s opportunities to increase sales beyond the borders of Lithuania,” Gedvila said.
Aiming to ensure Elsis PRO’s further growth, its current specialists and managers will remain on the team and the company will be led by its current CEO Rimvydas Jančiauskas. “I believe Elsis PRO will continue to successfully grow its potential and with the other companies of the Novian group will carry out even bigger projects,” Jančiauskas said.
The Novian group’s software services companies will continue to operate independently. The current chairman of Elsis PRO, Arūnas Gedvila, will continue to serve on its board, which it is planned will be joined by Kazimieras Tonkūnas, the managing partner of the IT business investment company INVL Technology, Artūras Zdanavičius, who is the head of the INVL Technology group’s finance company FinTime, and Evaldas Rėkus, who besides the Novian group also heads Novian Systems and Andmevara AS.
Established in 2004, Elsis PRO was until now part of the Elsis group. The company had revenue of EUR 2.6 million in 2020, an increase of 18.3% compared to 2019. Elsis PRO’s EBITDA last year was EUR 275,000, or 2.2 times the amount the year before. Of its 2020 revenue, 56% was from abroad. Elsis PRO has created solutions and products in the fields of aviation and risk management.
The Novian group had aggregated revenue of EUR 24.1 million in 2020, or 2.6% more than in 2019. Its aggregated EBITDA was EUR 1.8 million and grew 14.9% compared to 2019. The Novian group’s net profit last year, excluding nonrecurring and atypical losses in the value of investments, was EUR 0.6 million and increased 54.5% from the previous year.
The Novian group, which is owned by INVL Technology, a company that invests in IT businesses, operates in three business areas. Working in the technologies area are Novian Technologies in Lithuania as well as Andmevara Services OU of Estonia and Andmevara SRL of Moldova. Working in the software services area are Novian Systems and Elsis PRO in Lithuania and Andmevara AS in Estonia. Working in the media monitoring and digitisation area is the Norwegian company Zissor.
The person authorized to provide additional information:
Kazimieras Tonkūnas
INVL Technology Managing Partner
E-mail [email protected]
© OMX, source GlobeNewswire – EU Press Releases

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