PTC Acquires Servigistics – Frequently Asked Questions - PTC.com

PTC Acquires Servigistics – Frequently Asked Questions
We are pleased to announce that PTC has completed its previously announced acquisition of
Servigistics effective as of October 2, 2012. Servigistics is now a wholly-owned subsidiary of PTC.
Q: Who is PTC?
A: PTC (Nasdaq: PMTC) enables manufacturers to achieve sustained product and service advantage.
The company’s technology solutions help customers transform the way they create and service
products across the entire product lifecycle – from concept and design to sourcing and service.
Founded in 1985, PTC employs approximately 6,000 professionals serving more than 27,000
businesses in rapidly-evolving, globally distributed manufacturing industries worldwide.
Since 2005, PTC has been working with leading manufacturers such as Caterpillar, Whirlpool,
AGCO, Ingersoll Rand and Boeing to develop a purpose-built system for service that allows
manufacturers to most successfully plan, deliver and analyze service based on knowledge of how
their products are designed and built. This service-focused strategy has driven PTC to provide
Service Lifecycle Management (SLM) solutions that are the result of innovative technology
development combined with the capabilities gained through several acquisitions including 4CS.
These enterprise solutions enable manufacturers to create, manage and deliver in context,
configuration-specific service content that dramatically improves the effectiveness and quality of
the service network. When deployed together, they represent a system for service that connects
and optimizes a company’s global service network and provides a single view of service to
safeguard the end customer experience.
Q: Who is Servigistics?
A: Servigistics is a leading enterprise software solution provider for Service Lifecycle Management.
Servigistics helps manufacturers and their service network partners to optimize their service
operations and capture new sources of revenue, profits, competitive differentiation and customer
loyalty. Servigistics provides market-leading solutions that address service operations in such
areas as service parts planning and management, field service, returns and repairs, contact
center, and service knowledge and content management.
Q: What is Service Lifecycle Management?
A: For leading manufacturers, getting their service strategy right presents a multi-billion dollar,
high-margin revenue opportunity to differentiate themselves in the market from their traditional
product-oriented competitors. As an enabling technology, SLM helps manufacturers and their
service network partners optimize the customer experience by ensuring service is systemically
planned, delivered, and analyzed to continually improve performance and maximize customer
value.

Q: Why did PTC acquire Servigistics?
A: Servigistics is an industry leader for enterprise SLM solutions, focused on optimizing service
parts planning and management, field service, and returns and repair operations. Servigistics
will complement PTC’s existing Service Lifecycle Management solutions which include robust
capabilities in the areas of warranty and contract management, service parts definition, and
technical information. The combined SLM portfolio will thoroughly address the organizational,
operational, and technological transformations manufacturers must tackle to emerge as
competitive service-driven enterprises in the global marketplace.
Q: How will this acquisition benefit Servigistics customers?
A: Servigistics customers will be able to optimize their service operations through the combined
technologies of PTC and Servigistics that span the planning, delivery and analysis of service
operations.
The combination of PTC and Servigistics will result in a larger, stronger, more global company
with broader technical and customer support resources to provide uninterrupted support for
critical service operations.
Q: How will this acquisition benefit PTC customers?
A: Servigistics will accelerate PTC’s ability to help manufacturers overcome the operational
challenges inherent in the service supply chain. Coupled with PTC’s Service Lifecycle
Management solutions, Servigistics’ service parts management, field service management and
service logistics solutions will allow PTC to offer manufacturers a best-in-class, complete SLM
portfolio.
Q: How will this acquisition affect the development and availability of Servigistics solutions?
A: PTC is committed to investing in innovative technology solutions for Service Lifecycle
Management, and the Servigistics solutions will be essential components of that strategy. As the
integration progresses, PTC will communicate a roadmap for a single integrated SLM portfolio.
Q: How does this acquisition contribute to PTC’s strategy and revenue growth?
A: The acquisition demonstrates that PTC is committed to helping companies achieve and sustain
product and service advantage. The addition of Servigistics’ market-leading software capabilities
will extend the reach of PTC solutions to deliver the industry’s broadest SLM portfolio. SLM has
proven to be a strong growth opportunity for PTC and this acquisition will increase both the
scale and the addressable market for the company’s SLM business.
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Q: Who should PTC and Servigistics clients or partners contact if they have questions about
the acquisition?
A: PTC and Servigistics are in the midst of rolling out a comprehensive communications program for
both companies’ customers and partners. As the integration of PTC and Servigistics progresses,
we will provide important information through a PTC – Servigistics Integration Page that will
answer common questions and provide general information regarding technical support,
maintenance, invoicing, products and services. If you have any unanswered questions or
concerns, please contact your current PTC or Servigistics account team and they will involve the
appropriate people.
Financial
Q: What are the financial terms of the transaction?
A: PTC is paying aggregate cash consideration of approximately $220 million.
Q: What are the expected revenue synergies as a result of this acquisition?
A: PTC is excited about the opportunity to sell Servigistics as part of a comprehensive SLM solution
to both the PTC and the Servigistics customer base.
Servigistics Business Details
Q: Where is Servigistics located?
A: Headquartered in Atlanta, GA, Servigistics has a global presence with regional offices located in
Europe, China, Japan and India.
Q: What are the target markets/vertical industries Servigistics serves?
A: Very similar to PTC’s core verticals, Servigistics has expertise in multiple vertical markets with a
focus on high-tech, aerospace and defense, motor vehicles, industrial equipment, consumer
electronics and appliances, and medical and scientific devices.
Q: Who are some of Servigistics’ clients?
A: The Servigistics client base aligns closely with PTC’s global customers and Servigistics has
provided solutions to more than 325 clients worldwide including Dell, Coca-Cola, Paccar, Johnson
& Johnson, Ericsson, Hyundai, AGCO, BMW, Avaya, Cisco, Sears, Volvo, Air Canada, Cummins,
EMC, Airbus, Boeing, Baker Hughes, Lockheed Martin, Pratt & Whitney, Rockwell Collins, Applied
Materials and Philips.
Q: Who are the primary competitors in SLM?
A: The SLM technology market is highly fragmented with many point solutions providers who have
traditionally offered limited scale and capabilities. However, recent entries by leading ERP
vendors are validating the larger market opportunity.
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