European Dynamics reseller Qurius, fated to go from the Dynamics Inner Circle to liquidation in roughly 90 days, has put down the events that have produced its slated demise. In a pre-mortem - in the words of "Monty Python and the Holy Grail", "I'm not dead yet" - and not a post mortem, the company said that "By the end of May, Qurius was in such a shape that the cash position of the other operating companies was not enough to support Qurius Germany."
Management ousted the CEO of Qurius Germany and brought in staff from the Netherlands. But about the same time the company said a "major external financier of Qurius that executed rights and claimed repayments." The parent took a look at projected trends and ended up writing down goodwill, about $13.8 million for Germany and $7.89 million for the Netherlands. These details were in the results for the first half ended June 30.This financial report has one of the all-time great headline uses of standard terminology that results were "in line with expectations." Yes, we are going out of business, just as we expected. Cash went from about $15.5 million on December 31 to about $3.4 million on June 30. Most of Qurius is being snapped up by Prodware, which bought its Spain and Belgium operations last year this year. When Qurius first put itself up for bid, prices were low. It then offered itself to Prodware, a major shareholder, which preferred to buy pieces. In the first round, Prodware purchased Qurius Germany and Qurius U.K. for about $22 million. Next its gets the Dutch and Czech subsidiaries and the new QIPtree ISV arm for about $15.7 million and assumes about $12 million in debt. The final votes come in October.
Last modified on Sunday, 16 June 2013