The merger between Navision and Damgaard, two mid-market business applications software companies based in Denmark, has been confirmed.
NavisionDamgaard will continue to market the two present companies’ main product lines: Damgaard Axapta, Navision Solutions, Damgaard XAL and Damgaard C5. The merger will create an international market leader with revenues of more than DKK 1.2 billion. The new company will become an international supplier of integrated business solutions for medium-sized businesses.
‘Combining Navision Software and Damgaard into one company creates a perfect match. Even though we have been competing on the same market, our main products are positioned differently. Damgaard Axapta is designed for mid-sized and large companies, while Navision Solutions is primarily targeted at companies in the mid to lower end of this market,’ said Preben Damgaard, CEO of Damgaard.
‘The merger between our companies is natural because we can stop competing against each other and instead focus on creating a strong global company for the mid-market. By merging the two companies, we achieve a size and a market position that enables us to participate actively in the current international consolidation in the industry,’ said Jesper Balser, CEO of Navision Software.
The merger will generate considerable synergy through a strengthening of the sales and marketing efforts. New and combined products, better utilisation of the distributions channels and recruitment of new and larger partners are expected to lead to a significant improvement of the market position.
At the moment, the international development trend in the industry is towards larger units and suppliers who can offer complete solutions for the entire spectrum of medium-sized companies. NavisionDamgaard aims to take a leading position in this development.