Artemis Management Systems Concludes Acquisition By Proha PLC; Leading Enterprise Project Management Vendor Expands Opportunity for Growth and Product Innovation

Business Wire, August 24, 2000

Business Editors

BOULDER, Colo.--(BUSINESS WIRE)--Aug. 24, 2000

Artemis Management Systems, a worldwide developer of advanced enterprise-class project management software solutions, announced today that it has been acquired by Proha PLC in a deal valued at $50 million in cash and stock. A fast growing Internet technology solutions company based in Helsinki, Finland, Proha has been a major distributor of Artemis products for 16 years. Proha successfully tendered a public offering in October 1999, and is a recognized leader in Europe for its wireless and Internet-based project and financial management business solutions.

For Artemis, this change of ownership contributes significant financial resources to its growth strategy of acquisitions, mergers and market expansion. It also provides Artemis with additional assets and application development technologies to advance the introduction of its next generation products. The merged companies forecast significant growth as they leverage product and professional services synergies throughout their combined worldwide distribution channel. For the past three years, Artemis had been affiliated with Los Angeles-based Gores Technology Group (GTG). As a result of the acquisition, GTG Chairman Alec Gores is a principal shareholder of Proha, serving on its board of directors.

"We are entering a new era in Internet-based project and resource management," commented Steve C. Yager, president and CEO of Artemis. "Pervasive computing technologies such as wireless are the basis for Artemis' strategy over the next five years to transform how people apply project management techniques to solve business problems."

Nordic markets lead the world in adopting mobile and Internet-based management solutions. Proha is a widely-respected "new market" technology company leading this charge. "With Proha, we are able to tap into the intellectual and financial capital of a recognized leader in the wireless project management market, and accelerate our plans for creating innovative solutions for rapidly emerging markets - such as Professional Services Automation (PSA) - as well as for our 3,000 existing customers worldwide," noted Yager.

Added Pekka Pere, president and CEO of Proha: "The combination of Proha and Artemis will create a dynamic, market-leading enterprise that can help all our customers achieve better business management results in this increasingly competitive, Internet-based business world."

Background

Artemis provides software and professional services that help large and medium-sized enterprises to more effectively manage their projects and workforce resources with an integrated suite of products and services. The company's products, available in client/server and Web-based environments, improve coordination, communication and collaboration on projects, tasks and business goals for centralized or dispersed project teams. Artemis, headquartered in Boulder, Colorado, will continue operating out of its 40 offices in 27 countries, serving customers in a wide range of industries including banking and finance, pharmaceuticals, telecommunications, aerospace and defense, manufacturing, and engineering and construction.

Proha focuses its IT products on management in the Internet age, including project management, financial management and Internet technologies. The company was listed on the NM-list of the Helsinki Exchange in October 1999. After the listing, the company has grown very rapidly through acquisitions and organic growth in sync with its strategy. Proha's pro forma turnover in 1999 was approximately about FIM 390 million.

Headquartered in Los Angeles, Gores Technology Group is a privately-held international technology acquisition and management company that pursues an aggressive strategy of acquiring promising high-technology organizations and then manages them for growth and profitability. GTG's established infrastructure currently manages a portfolio of 21 inter-related, but autonomous, technology-oriented companies in 40 countries throughout the world. These companies provide a broad range of technology-based products and services to 13,000 customers, representing over 1.5 million active users.

Artemis is a registered trademark of Artemis Management Systems Inc. All other product or company names mentioned are the trademarks or registered trademarks of their respective owners.