eSynergies, commerceSwitch`s Nasdaq-listed holding company, has acquired the operating assets of Worldwide Xceed Group, a multidisciplinary e-services company that filed for a voluntary Chapter 11 bankruptcy on 30 April.
eSynergies provides fully integrated e-business solutions.
The acquisition broadens eSynergies` e-marketplace solutions with offerings in the areas of Web business strategy, e-commerce solutions and interactive sales and marketing networks.
"The acquisition enables eSynergies to deliver solutions that let clients capitalise on the reach and efficiency of the Internet," says commerceSwitch MD Philip de Bruin. "We and our local customers benefit directly through gaining access to a broader and deeper pool of international expertise. Our clients enjoy global expertise combined with in-depth understanding of local needs."
Worldwide Xceed formerly traded as XCED on the Nasdaq. Prior to its reorganisation in late 2000, Xceed had attained annual revenues of $108 million, employed 600 people, had 11 offices and a market capitalisation of over $1 billion.
Under the order of the US Bankruptcy Court for the Northern District of Illinois, the acquisition is made free and clear of all liens, claims and encumbrances except for certain liabilities.
The new subsidiary, eSynergies Xceed, brings with it client contracts such as Hilton Hotels, CBS Entertainment, Herman Miller, Castrol, British Telecommunications, MTV Networks Europe, Universal Studios,InnMedia, USA Films, Marcel Dekker and Turner Network Television.
Xceed provides strategic consulting, creative design, technology integration and intranet/extranet implementation.
Xceed`s work has won international recognition: Internet Week recently named Hilton`s Web site E-Business Of The Year. Hilton tapped Xceed to oversee its site redesign. In 2000, the number of visitors to Hilton`s Web site doubled to 30 million, resulting in nearly $300 million in hotel room revenue from 1 million online bookings.
"As the industry consolidates, fewer companies will be competing for potentially larger contracts. Our new Xceed division enables eSynergies to fulfil multi-million dollar contracts and compete in the interactive agency, e-consulting and e-services industries," says Dr Ted Marr, CEO of eSynergies. "The substantial equity capital invested in Xceed during its growth phase built a valuable brand that we intend to support and grow."
With offices in Los Angeles, New York, Dallas, Chicago and Atlanta, Xceed`s resources will be integrated with eSynergies` Salesmation and commerceSwitch.
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