Convergys Reports Early Termination Of HSR Waiting Period For Stream Acquisition

(RTTNews) - Customer management service provider Convergys Corp. (CVG) said it has received notice of the early termination of the waiting period as per the Hart-Scott-Rodino Antitrust Improvements Act or the HSR Act, related to its proposed acquisition of SGS Holdings, Inc. or "Stream", the holding company of Stream Global Services, Inc. The waiting period was slated to expire on February 10, 2014.

As announced earlier, Convergys has agreed to acquire Stream for an enterprise value of $820 million cash from funds managed by Ares Management and Providence Equity Partners, as well as from LiveIt, the Business Process Outsourcing investment arm of Ayala Corp. The termination of the waiting period, which is effective as of January 22, satisfies one of the conditions to closing the transaction. The transaction may close in the first quarter of 2014.

By adding Stream's complementary client base, geographic footprint and service capabilities, Convergys believes that the acquisition would expand and strengthen its U.S. and global presence in the $55 billion outsourced customer management services industry. When combined, total company revenue is likely to be more than $3 billion, Convergys added.