Sirma Group opens an office in New York to speed up US expansion

Сирма Груп Холдинг

Сирма Груп Холдинг

Sirma Group Holding (SKK BU) opens US headquarters in New York to speed up US expansion, according to a statement by the company. Sales expansion in North America has been among key goals of Sirma to be accomplished with the BGN 11.4m raised in an Initial Public Offering in Sofia in Sept. 2015.

The company will relocate key founder Yavor Djonev, to lead the US team and expansion. He will be appointed CEO of Sirma Group Inc., which will start with USD 2m initial capital.

Sirma Group Holding’s CEO Tsvetan Alexiev heads the Sirma Group Inc.’s board of directors and will take care of financial matters. Database solution provider Ontotext’s CEO Atanas Kiryakov will also be part of the Board.

Sirma Group Inc. will be the key hub to help grow US sales for Sirma and all its subsidiaries and enhance synergies between them, Tsvetan Alexiev was quoted in the company’s statement. The new company will focus on the Eastern United States leaving the activity in the West to the current office in Idaho, headed by Deyan Nenov.

Loyax – a new spin-off to be created

Loyalty platform Loyax has already a developed partners’ network in Europe, Asia, Africa, Middle East and Latin America. The project is also licensed for marketing agencies in Singapore, Nigeria, Qatar and Guadalupe.

The management decided to take the project out of Sirma Solutions and found a spin-off for it. BGN 500 000 is located to Loyax investment.

Other investments

Other investments include BGN 1 mln. for increasing of production capacity of Sirma Solutions in HQ in Sofia and regional offices as well as funding for Sirma ITT for implementation of projects in US.

Sustained growth

For FY 2015, Sirma Group Holding posted 21.9% y/y rise in consolidated revenues to BGN 33.97m while normalized net income was down 45% y/y to BGN 1.57m on big system administration project. In 2016, the company expects 25% y/y rise in revenue, 100% y/y/ rise in net income and 30% y/y rise in EBITDA.

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