The General Assembly also adopted the annual accounts of the company
Delta Technologies Plc, the IT holding company listed in the Standard category of the Budapest Stock Exchange, held its Annual General Meeting. The General Meeting approved all items on the agenda, including the company's annual reports for the previous financial year and the planned acquisition of Delta Services Kft., so that the company can continue to pursue its strategic objectives.
Turnover of more than HUF 13 billion
The General Meeting adopted the company's individual and consolidated annual accounts for the period from 1 July 2020 to 30 June 2021.
Based on this, the company's revenue amounted to nearly HUF 13.3 billion in the previous financial year, which represents a significant increase compared to the HUF 2.6 billion achieved in the previous financial year, from 1 January 2020 to 30 June 2020. It is true that in this period Delta Systems Kft. was only a partial subsidiary of Delta Technologies Plc. from 1 March.
Gergely Bodzási, member of the Board of Directors of Delta Technologies Plc. responsible for economic affairs, said in connection with the reports that the EBITDA value of Delta Systems, which is the main part of the company's business activities, amounted to approximately HUF 708 million in the previous financial year.
The timing of the annual general meeting of Delta Technologies is also different from the usual practice of domestic capital market issuers due to the company's operation in a staggered financial year - the period from 1 July 2020 to 30 June 2021 is the previous financial year for the company, which can now be considered closed. As the majority of the listed company's business is conducted by its largest wholly-owned subsidiary, Delta Systems Ltd, the consolidated financial statements are considered authoritative for the company's financial position.
The number of Nyrt. subsidiaries may continue to grow
The assembly also expressed support for the planned acquisition of Delta Services Ltd. Within the framework of the transaction, Deltagroup Holding Zrt. would sell Delta Services Kft., which primarily provides IT operation and service, helpdesk, office technology and visual technology services, to Delta Systems Kft., the company's largest subsidiary.
The Board of Directors informed shareholders that it considered that the transaction would be beneficial in a number of respects, as Delta Services' extensive network of blue chip manufacturing partners, significant experience and references would significantly contribute to the company's strategic objectives, in particular to strengthen its market position. An independent financial, tax and legal due diligence and company valuation of Delta Services has been completed for the financial year ending 30 June 2020, and the data for the financial year ending 30 June 2021 is under review.
Zoltán Csontos, Chairman of the Board of Directors of Delta Technologies, said that Delta Technologies has achieved several important milestones in recent months, such as the listing of shares in May 2019 or the start of the implementation of the action plan for the capital increase initiated in December 2019. Further planned steps, such as the acquisition of Delta Services, are also part of this, he added, adding that he is convinced that the transaction will significantly contribute to further growth and to strengthening the existing fundamentals.
