Mr. Pramod Jain reports
CMG ANNOUNCES THE ACQUISITION OF BLUWARE-HEADWAVE VENTURES INC.
Computer Modelling Group Ltd. has acquired Bluware-Headwave Ventures Inc., a software and services company specializing in cloud and interactive deep learning solutions for subsurface decision-making, including seismic interpretation.
"Acquiring Bluware is a step forward in the company's growth strategy of investing in strong technologies that both expand our portfolio of upstream energy solutions and deliver attractive rates of return," stated Pramod Jain, chief executive officer of Computer Modelling. "With Bluware, we are building on our expertise in cloud delivery, advanced technologies and data management, which allows us to deliver improved workflows and collaboration with increased speed, performance and accuracy."
Bluware's proprietary VDS (volume data storage) data format compresses raw and interpreted seismic data sets, making them adaptable and scalable. It enables fast data access, cost-effective cloud storage and compute-intensive workflows. The company's flagship product, InteractivAI, is a cloud-native software solution that leverages VDS to deliver an interactive artificial intelligence tool, compressing seismic fault interpretation timelines from months to days through the combination of expert user input and cutting-edge deep learning.
In the most recently completed fiscal year, Bluware reported total revenue of $23.5-million (U.S.) ($17.7-million (U.S.) from services and $5.8-million (U.S.) from software) and an estimated adjusted EBITDA (earnings before interest, taxes, depreciation and amortization) margin of 5 per cent.
Total consideration paid by Computer Modelling for the acquisition is $22-million (U.S.). In addition, there is a potential earnout provision of up to $8-million (U.S.) if certain revenue thresholds related to key contracts of Bluware are met during the 18-month period after closing.
Computer Modelling will host a webcast today, Sept. 25, 2023, at 8 a.m. MDT (10 a.m. EDT) to discuss the transaction. The webcast can be accessed on Computer Modelling's website.
About Computer Modelling Group Ltd.
Computer Modelling is a global software and consulting company that combines science and technology with deep industry expertise to solve complex subsurface and surface challenges for the new energy industry around the world. Computer Modelling is headquartered in Calgary, Alta., with offices in Houston, London, Dubai, Bogota, Rio de Janeiro, Bengaluru and Kuala Lumpur.
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