2006

On December 4, 2006, France Telecom signed an agreement with all of the Silicomp Group's reference shareholders for them to sell a controlling interest, representing approximately 54% of the company's capital and the majority of voting rights, for a total of 50 million euros paid in cash, based on a price of 20 euros per share.

 

Silicomp, listed on the regulated Euronext Eurolist market since June 16, 1998, is specialized in the integration of software components for real-time industrial applications as well as network and system security.

 

This transaction’s completion is notably subject to approval by the relevant competition authorities.

 

In accordance with the stock market regulations in force, France Telecom will be making an irrevocable standing market offer to the Silicomp Group’s minority shareholders and to holders of Silicomp 2007 equity warrants, based on the same price per share as for the acquisition of the controlling interest, i.e. 20 euros per share and 1.40 euros per Silicomp 2007 warrant – a premium of over 37% on the average share price for the month prior to the project being announced on November 9.

 

The Silicomp Group's acquisition is in line with France Telecom’s strategy to provide dedicated convergent communications solutions and services for businesses and develop its position on this market. As Barbara Dalibard, Executive Director, Orange Business Services explains: “this acquisition will dovetail with Orange Business Services’ integration services offering for business networks and critical communications applications, drawing on Silicomp’s expertise on key technologies (IP v6, smartcards, M2M, ToIP, wireless technologies, real-time systems, security, etc.). This will enable Orange Business Services to further strengthen its position, confirming it as one of the leading French players for integrated communications services”.

 

For Silicomp, “this acquisition marks a major step forwards in the Silicomp Group's strategy on the convergent solutions market. Joining one of the world's leading groups like France Telecom will enable us to consolidate our presence with our clients and provide them with complete solutions, capitalizing on the  global reach of Orange Business Services”, confirms Jean Michel Gliner, Chairman of the Silicomp Group.

 

With products, services and areas of expertise that dovetail well with one another, this operation will enable France Telecom and the Silicomp Group to meet the requirements of businesses even more effectively and comprehensively on critical communications applications, notably associated with the strong development of communicating objects, while guaranteeing the security of their information exchanges.

 

France Telecom, one of the world’s leading telecommunications operators, serves more than 153 million customers on five continents (220 countries or territories) as of September 30, 2006 and had consolidated sales of 49 billion euros by IFRS standards in 2005 (38.4 billion euros for the year-to-date at September 30, 2006). Launched in June 2005, the NExT program (New Experience in Telecommunications) will allow the Group to pursue its transformation as an integrated operator and to make France Telecom the benchmark for new telecommunications services in Europe. On June 2006, Orange thus became the Group's single brand for Internet, television and mobile in France, the United Kingdom, the Netherlands and Spain, and Orange Business Services the brand name for the services offered to businesses worldwide. France Telecom is number two mobile operator and provider of Internet services in Europe and amongst the world leaders in providing telecommunication services to multinational companies.

France Telecom (NYSE:FTE) is listed on Euronext Paris Eurolist market and on the New York Stock Exchange.

 

Founded in 1983 by Jean-Michel Gliner, CEO and major shareholder until France Telecom takeover, Groupe Silicomp is a the first Information Technology Solutions provider. The Group  is active in consulting and implementation services, and is a recognised specialist in computer security.  The Group’s unique know-how for developing communication systems for your future needs is reflected in its control and integration of network systems, industrial applications and real-time, on-board computing.  With a presence on three continents, Groupe Silicomp is the preferred partner of major manufactures.  For more information, please visit our website at www.silicomp.fr

 

Press Contacts:

 

Nilou du Castel : nilou.ducastel@orange-ftgroup.com

Sébastien Audra : sebastien.audra@orange-ftgroup.com

Bertrand Deronchaine : bertrand.deronchaine@orange-ftgroup.com

Fabienne Moiteaux : fabienne.moiteaux@orange-ftgroup.com  

 

Bernard Garrigou-Torchy : BGTcom@wanadoo.fr