Wayne, PA – November 03, 2022 – Sungard Availability Services (“Sungard AS”) today announced the successful completion of the previously announced Asset Purchase Agreements (APAs) with 11:11 Systems (“11:11”) and 365 Data Centers (“365”). 11:11, a managed infrastructure solutions provider focused on cloud, security, and connectivity solutions, has acquired Sungard AS’ North American Recovery Services (RS) business, as well as its North American Cloud and Managed Services (CMS) business and Consulting business. 11:11 will operate essentially all of Sungard AS’ IT systems and provide services back to 365 and Sungard AS. Also, as part of the transactions, 11:11 will operate four data centers previously part of Sungard AS. 365, a leading provider of network-centric colocation solutions, acquired a majority of Sungard AS’ U.S.-based Colocation and Network Services business. As part of the 365 transaction, eight data centers including network assets, will become part of the 365 portfolio of infrastructure assets.
With each transaction, support teams within Sungard AS, 11:11 and 365 have been working diligently to orchestrate seamless transitions for Sungard AS’ customers, including provisions that have been put in place between the parties to deliver continued business-as-usual operations. Additionally, approximately 90% of Sungard AS’ employees in North America and India will transition to 11:11 or 365 in connection with the transactions. As a result, customers should expect to be supported by the same team members, systems and processes as they are today.
“While restructuring and operating all or some of the business was one of the options we evaluated, we believe – as did our Board and investors – that the sale of the assets was the right decision for all stakeholders, including our customers that have continued to rely on us. For our employees, I’m pleased to say that almost the entire Sungard AS team in North America and India will transition to 11:11 and 365. Together, they will continue to build on the value that we’ve created and delivered for customers, while joining two innovative and growing companies,” said Michael K. Robinson, Chief Executive Officer and President, Sungard Availability Services. “Our customers can have confidence knowing they will work with many of the team members that support them today, and will do so with the same systems, tools and processes.”
Sungard AS will now pivot to the winddown of its remaining U.S.-based assets, which includes four North American data center facilities not included in any of the other transactions. Further, the Company continues to evaluate options for its remaining international subsidiaries in Europe.
Additional information about Sungard AS’ chapter 11 filing can be found at: https://cases.ra.kroll.com/SungardAS.
Information about the Canadian proceedings can be found at: http://www.alvarezandmarsal.com/SungardASCanada.
Sungard AS is advised in this matter by Akin Gump Strauss Hauer & Feld LLP, Jackson Walker LLP, Cassels Brock & Blackwell LLP, FTI Consulting, Inc., DH Capital, LLC and Houlihan Lokey Capital, Inc.
About Sungard Availability Services
Sungard Availability Services (Sungard AS) is a leading provider of cloud connected infrastructure solutions serving enterprise customers from hardened data centers and workplace recovery facilities in eight countries. Sungard AS has a 40-year track record of delivering resilient and highly available hybrid IT solutions. Visit Sungard AS at www.sungardas.com or call +1 888 537-6519 in the U.S. or +44 808 238-8080 in the U.K. Connect with us on our blog,LinkedIn, Twitter,Facebook and YouTube.
Gregory FCA for Sungard AS
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Cautionary Note Regarding Forward-Looking Statements
Any statements contained in this press release that are not statements of historical fact, including statements about our beliefs and expectations, are forward-looking statements and should be evaluated as such. The words "anticipates," "believes," "expects," "intends," "plans," "estimates," "targets," "projects," "should," "may," "will," statements regarding future timing of a chapter 11 proceeding and similar words and expressions are intended to identify forward-looking statements, as defined within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Such forward-looking statements reflect, among other things, our current expectations, plans and strategies, and anticipated financial results, all of which are subject to known and unknown risks, uncertainties and factors that may cause our actual results to differ materially from those expressed or implied by these forward-looking statements. Such forward-looking statements include, among others, those concerning the completion, outcome and effects of the chapter 11 cases, the ability of Sungard AS to obtain bankruptcy court approval of the matters described in this press releases, including with respect to any debtor-in-possession financing, the ultimate outcome of the chapter 11 cases and any restructuring of Sungard AS effectuated thereby and Sungard AS’s ability to reduce its debt or strengthen its financial position. Many of these risks are beyond our ability to control or predict. Because of these risks, uncertainties and assumptions, you should not place undue reliance on these forward-looking statements. Furthermore, forward-looking statements speak only as of the date they are made. We do not undertake any obligation to update or review any forward-looking information, whether as a result of new information, future events or otherwise.