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AVANADE ACQUIRES KCS.NET TO EXPAND MICROSOFT DYNAMICS CAPABILITIES ACROSS GERMANY, SWITZERLAND AND AUSTRIA

Acquisition of KCS.net Makes Avanade a Leading Microsoft Dynamics Partner in the Region

SEATTLE/ST. GALLEN – 10 JUNE 2015

Avanade, a global business technology solutions, cloud and managed services provider, today announced that it has completed the acquisition of KCS.net and its subsidiaries (including Infoman AG). The acquisition further enhances Avanade’s Microsoft Dynamics capabilities, which include enterprise resource planing (ERP), customer relationship manager (CRM), and data analytics
KCS.net is one of the largest Microsoft Dynamics ERP partners in Germany, Switzerland and Austria, a leading Microsoft Dynamics CRM partner and has a fast growing Microsoft SharePoint business. 
“The addition of KCS.net to the Avanade family is great news for clients, which will now benefit from our increased local Dynamics expertise and access to offshore capabilities as well,” said Robert Goegele, Avanade general manager for Germany, Switzerland and Austria. “With over 40 years of combined experience, we are delighted to uphold our strong track record of delivering innovative projects to our clients. With our global and local delivery capabilities, we are uniquely positioned to help clients successfully implement business solutions in their home markets and abroad.”
KCS.net has been a Microsoft Gold Certified partner since 2004 and now holds the Microsoft Gold Certification for Enterprise Resource Planning, Content & Collaboration and Customer Relationship Management. It is also a member of the Inner Circle and President‘s Club of Microsoft Dynamics for several years.
Kay Laukat, KCS.net CEO, said, “Avanade is a leading provider of Microsoft Dynamics AX and CRM, bringing unmatched expertise on the Microsoft platform to its clients. We are excited to join forces, strengthening our combined market position and providing world-class service to our Dynamics AX, CRM and SharePoint customers.” 

Avanade announced in April its intent to acquire KCS.net. Exact terms of the transaction were not disclosed.

About Avanade

Avanade helps clients realise results in a digital world through business technology solutions, cloud and managed services that combine insight, innovation and expertise focused on Microsoft technologies. Our people have helped organisations in all industries improve business agility, employee productivity and customer loyalty. Avanade combines business, technical and industry expertise with the rigor of an industrialised delivery model to provide and deploy high quality solutions–on premises, cloud-based or outsourced. Avanade, which is majority owned by Accenture, was founded in 2000 by Accenture LLP and Microsoft Corporation and has 25,000 professionals in more than 22 countries. Additional information can be found at www.avanade.com

Avanade and the Avanade logo are registered trademarks or trademarks of Avanade Inc. Other product, service, or company names mentioned herein are the trademarks or registered trademarks of their respective owners.

About KCS.net

KCS.net, an Avanade company, is a leading Microsoft Dynamics AX, CRM and SharePoint partner in Germany, Switzerland and Austria. With nearly 330 employees in 16 locations, the highly qualified and certified KCS.net teams implement tailor-made, user-friendly and global software solutions for both discrete and process manufacturers, as well as service and wholesale companies. In 2015, Avanade, a global leading provider of innovative digital services, business solutions and design-led experiences, acquired KCS.net. For more information about KCS.net, please visit www.kcs.net

Forward-Looking Statements

Except for the historical information and discussions contained herein, statements in this news release may constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995.  These statements involve a number of risks, uncertainties and other factors that could cause actual results to differ materially from those expressed or implied.  

These include, without limitation, risks that: Avanade and KCS.net will not be able to close the transaction in the time period anticipated, or at all, which is dependent on the parties’ ability to satisfy certain closing conditions; the transaction might not achieve the anticipated benefits for Avanade; Avanade’s business could be negatively affected if the company cannot expand and develop its services and solutions in response to changes in technology and client demand; the management consulting, systems integration and technology markets are highly competitive and Avanade might not be able to compete effectively; Avanade’s business could be negatively affected by economic and political conditions and the effects of these conditions on its clients’ business and levels of business activity; Avanade’s work with government clients exposes the company to additional risks inherent in the government contracting process; clients may not be satisfied with Avanade’s services; Avanade could have liability or its reputation could be damaged if it does not protect client data or information systems or if its information systems are breached; Avanade’s business could be negatively affected by legal liability that results from providing its solutions or services; Avanade’s results could be adversely affected if its clients terminate their contracts with the company; liabilities could arise if subcontractors or other third parties with whom the company partners cannot deliver their project contributions on time or at all; Avanade’s results of operations may be adversely affected by the rate of growth in the use of technology in business and the type and level of technology spending by its clients; Avanade’s profitability may suffer if it is not able to maintain favorable pricing rates and utilisation rates or if the company cannot control costs; Avanade’s global operations are subject to complex risks, some of which might be beyond its control; Avanade’s business may be adversely affected if it is unable to keep its supply of  skills, including those personnel currently employed by KCS.net, and resources in balance with client demand; Avanade may be unable to achieve its business objectives if the company cannot manage the organisational challenges associated with the scope of its operations; Avanade has only a limited ability to protect its intellectual property rights, and its services or solutions could infringe on the rights of others or it could lose its ability to use the intellectual property of others; Avanade’s ability to attract or retain business may depend on the company’s reputation in the marketplace; loss of the company’s significant corporate relationships with Accenture and Microsoft could reduce its revenue and growth prospects; Avanade has a limited ability to set its own independent strategies, and its business strategy and direction may be dictated by Accenture’s overall business strategy; Avanade relies on Accenture for the majority of its revenue, and the loss of that revenue would have a significant adverse impact on Avanade’s results of operations and may affect its ability to continue to operate; Avanade’s global delivery network relies on Accenture, and the loss of that network would increase Avanade’s operating expenses; Microsoft has certain minority rights, and may exercise those rights to protect its own interests, which may not align with Avanade’s; and Avanade is committed to using Microsoft-related technologies, and the company’s inability to use those technologies would adversely impact its results of operations.    

Statements in this press release speak only as of the date they were made, and Avanade undertakes no duty to update any forward-looking statements made in this news release or to conform such statements to actual results or changes in Avanade’s expectations.

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CONTACT US

Press Contacts

Avanade

Jennifer Kahn
+44 7917 751 605
jessica.kendall@edelman.com

KCS.net

Petra Auracher
+41-79-2551611
petra.auracher@kcs.net

Edelman Avanade

Jessica Kendall
+1 206 250 1899
jessica.kendall@edelman.com

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