HALF-YEAR REVIEW MITIGATING RISK PROTECTING ASSETS REALISING VALUE INFORMING DECISIONS

Transcription

1 HALF-YEAR REVIEW MITIGATING RISK PROTECTING ASSETS REALISING VALUE INFORMING DECISIONS

2 TABLE OF CONTENTS 03 ABOUT CPA GLOBAL 06 CPA : HALF-YEAR REVIEW, PETER SEWELL, CHAIRMAN, GLOBAL 10 MAJOR MILESTONES AND ACHIEVEMENTS 15 MANAGEMENT BOARD OF DIRECTORS & TEAM 21 CPA GLOBAL OFFICES

3 ABOUT CPA GLOBAL

4 ABOUT CPA GLOBAL Who we are CPA Global is the world s top intellectual property (IP) management and IP software specialist, and a leading provider of outsourced legal services. With offices across Europe, the United States and Asia Pacific, CPA Global supports many of the world s best known corporations and law firms with a range of IP and broader legal support services, helping them to manage risk, cost and capacity, and realise greater value for their businesses and IP assets. CPA Global helps corporations and law firms in managing valuable IP Rights, such as patents, designs and trademarks, ensuring that IP portfolios are protected, maintained and regularly reviewed in order to maximise value. Working closely with its clients, CPA Global ensures they have the best information on which to base IP decisions, and the best support in terms of helping implement those decisions. Services include IP management software, patent and trademark renewals, patent research and analytics, patent portfolio optimisation, trademark watching, and domains management, as well as other IP support services such as docketing. In IP software, CPA Global offers five market-leading IP management solutions (FoundationIP, Inprotech, Ipendo, Memotech, and Patrawin) tailored towards different types of clients and their specific needs, as well as First To File, the marketleading electronic document management system for IP; Discover SM, one of the world s most advanced patent search platforms; and IP Forecaster, the IP costforecasting software. CPA Global is also a leading player in the outsourced legal services sector, providing high-quality and cost-efficient legal support services such as transaction support, contract management, antibribery and compliance, and legal research through global delivery centres in the US, Europe and India. Founded in Jersey, Channel Islands, in 1969, CPA Global today employs more than 1,800 people, serving clients needs in 200 jurisdictions through its own offices and an extensive agent network. CPA Global s diverse client list ranges from major global corporations, headquartered in Europe, North America and Asia Pacific, to small and medium-sized enterprises and innovation start-ups; and from top international law firms to national and regional law and IP firms. Clients include leading Fortune 500 and FTSE companies, and two-thirds of the Global Lawyer 100. For more information on CPA Global s full range of software and services, please visit the Company s website at: 4

5 ABOUT CPA GLOBAL Our business at a glance 21 OFFICES ACROSS 4 CONTINENTS AND 11 COUNTRIES 1,800+ EMPLOYEES WORLDWIDE AGENT NETWORK OF 1,300 ACROSS 200 JURISDICTIONS MORE THAN 1,000,000 INCOMING IP DOCUMENTS PROCESSED AND DOCKETED ANNUALLY OVER 500 LAWYERS, ENGINEERS AND IP EXPERTS PROVIDING IP AND LEGAL SUPPORT SERVICES ACROSS VARIOUS INDUSTRY VERTICALS PARALEGAL SUPPORT FOR MORE THAN 30,000 ACTIVE MATTERS ANNUALLY MORE THAN 200 PATENT RESEARCHERS OVER1.5 MILLION PATENTS AND TRADEMARKS RENEWED ANNUALLY CPA GLOBAL TECHNOLOGY SERVES MORE THAN 20,000 IP PROFESSIONALS AROUND THE WORLD EVERY DAY 60% OF ALL INTERNATIONAL PATENT RENEWALS ARE PERFORMED BY CPA GLOBAL 5

6 : HALF-YEAR REVIEW PETER SEWELL, CHAIRMAN, CPA GLOBAL 6

7 : H A L F -Y E A R R E V I E W, P E T E R S E W E L L, C H A I R M A N, C PA G LO B A L Chairman s Overview 2013/2014 is proving to be another year of encouraging growth for CPA Global, both from a fi nancial and operational perspective. Despite increasing competition in a number of our market sectors, we are achieving improved sales and solid growth in turnover, while maintaining profi tability at satisfactory levels. At the same time, we are continuing to expand our service offerings and international network. The year is also seeing changes in the leadership of CPA Global as we establish a new management team to take the Company forward on the next phase of its development. Furthering our growth strategy As part of our growth strategy, we are pursuing selective acquisitions in key markets around the world. In considering potential acquisitions, we are seeking opportunities to consolidate markets and channels, bringing our operational expertise to bear to maximise synergies. In January 2014, we acquired leading Nordic IP services provider Patrafee AB. The acquisition included Patrafee s patent renewals business, including long-term contracts with the Nordic IP law fi rms that were previously Patrafee s shareholders; Patrawin, Patrafee s IP management software solution; and IP Forecaster, the market-leading online software product that enables clients to forecast patent costs and timings instantly and accurately. Patrafee has been providing IP services for more than 30 years and has an excellent reputation in the market. The acquisition further strengthens CPA Global s presence in the Nordic region, particularly in the SME (small and medium-sized enterprises) patent renewals sector, and follows our successful acquisition of IP management software and service provider Ipendo in Sweden in As part of CPA Global, Patrafee is continuing to manage the patent renewal requirements of its clients, but is also able to provide them with the broader suite of IP services and products we offer as well as access to a more extensive global network. Patrawin IP management software remains an important part of Patrafee s offering and is a strong addition to our portfolio of IP management software solutions. IP Forecaster is being integrated into our software solutions to further improve our offering to clients. Similar to First To File, the electronic document management system we acquired in 2013, the addition of IP Forecaster to the product portfolio demonstrates CPA Global s commitment to providing clients with a full spectrum of effi ciency-enhancing software solutions. 7

8 : HALF-YEAR REVIEW, PETER SEWELL, CHAIRMAN, CPA GLOBAL Expanding and enhancing services Software is not the only area where we continue to enhance and broaden our service offering. Our new, more comprehensive data verification service, Veritas, is proving a strong attraction for our patent and trademark renewals clients, while the expansion of the Internet domains space through the new Generic Top Level Domains (gtld) programme is opening up opportunities for new services, including supporting clients with gtld launches and monitoring gtld applications by other parties that might impact on a client s brand or trademark. We are seeing increased demand for our IP and Legal Support Services business in areas such as patent research, and agent and invoice management, where we assist clients in managing disparate networks of agents around the world and ensure payments are properly and efficiently handled. Meanwhile, demand for broader legal support services is also picking up, particularly in the US with the increased focus on regulatory and compliance issues. In December, we opened a new state-of-the-art facility in Arlington, Virginia, close to Washington, D.C. The new office, our sixth in the US, increases our capacity to assist law firms and corporate legal departments with their legal support services needs, including transaction support, document review, contract management, legal research, and anti-bribery and compliance due diligence projects. WE ARE SEEING INCREASED DEMAND FOR OUR IP AND LEGAL SUPPORT SERVICES BUSINESS IN AREAS SUCH AS PATENT RESEARCH, AND AGENT AND INVOICE MANAGEMENT. 8

9 : H A L F -Y E A R R E V I E W, P E T E R S E W E L L, C H A I R M A N, C PA G LO B A L Planning for the future The completion of a corporate refi nancing exercise in December saw us replace our previous debt facilities with a more costeffective structure that better fi ts the profi le of the business and gives us greater operational fl exibility going forward. This was made possible by the strong, ongoing performance of CPA Global and the excellent outlook for the Company. As a result, the fi nancial markets have a very positive view of the business, which was clearly demonstrated by the excess demand from potential lenders wishing to join our banking syndicate. As we look to the future, it is also important that we have a management team in place that will help lead us on the next phase of our development and maximise the signifi cant growth opportunities that lie ahead. To this end, we have appointed Tim Griffi ths as Chief Executive Offi cer, while I have taken on a new role as Chairman. Tim is the former CEO and Executive Chairman of the Williams Lea Group, a world-leading Business Process Outsourcing (BPO) company specialising in marketing services. In his time at Williams Lea, Tim led the development of the Company, both organically and through acquisition, to create a $2 billion global services business, employing 12,500 people in 40 countries. I am confi dent that, with his experience of building and managing a world-class, client-focused business, Tim will be able to drive CPA Global to further success. Following the retirement of Bill Fagan at the end of December, we appointed Alasdair Marnoch as Chief Financial Offi cer. Alasdair is a Non-Executive Director and Chairman of the Audit Committee for the UK Post Offi ce and joined CPA Global from Iris Software Group, one of the UK s leading accountancy and payroll software companies, where he was CFO. Alasdair has many years of experience working in senior fi nancial roles with both publicly listed and private companies, playing a key role in supporting business growth. He has also been involved in private equity sales and mergers and acquisitions, creating substantial value for the companies concerned. As Chairman, I will bring continuity to the business, helping support and guide CPA Global s strategic development. I look forward to working closely with Tim, Alasdair, and the rest of our management team, as well as our investors, Cinven, to deliver our growth strategy. Peter Sewell Chairman, CPA Global 9

10 MAJOR MILESTONES AND ACHIEVEMENTS

11 MAJOR MILESTONES AND ACHIEVEMENTS 1969 Computer Patent Annuities (CPA) founded in Jersey, Channel Islands, by UK patent attorneys to handle patent renewals. From the outset, CPA Global s story has been one of growth and international expansion as the Company has evolved from a start-up IP services business, focused on patent renewals, to the world s leading provider of IP management software and services, employing more than 1,800 people in offices across Europe, North America and Asia Pacific. Here are some of the Company s key milestones and achievements Forms strategic alliance with NGB Corporation in Japan Opens first office in the United States Acquires majority share of Trade Marks Directory Service (TMDS) Enters South Korean market in partnership with a local agent Peter Sewell joins company as Chief Executive Officer. 11

12 MAJOR MILESTONES AND ACHIEVEMENTS 2001 Acquires Paris-based Memotech Interface Systeme and its Memotech IP management software (designed for corporations) Acquires substantial stake in Maxim Technology Ltd. and its Inprotech IP management software (designed for law firms) Acquires FoundationIP, a web-hosted IP management software solution for corporations and law firms. Secures a controlling stake in Intellevate, an IP outsourcing company with operations in Minneapolis and India Acquires a major stake in Lacasse and Associates, LLC, one of the leading patent research firms in the United States Opens state-of-the-art IP and legal support services delivery centre in New Delhi, India. 12

13 MAJOR MILESTONES AND ACHIEVEMENTS 2008 Acquires patent research division of Germany s SVPG, specialising in the pharmaceutical, chemical, biotech and life sciences sectors Celebrates 40th year of operations and rebrands worldwide as CPA Global. Opens office in Hong Kong to spearhead expansion in China and Asia Intermediate Capital Group (ICG) acquires a significant minority stake in CPA Global, investing alongside senior management and founding shareholders. Launch of CPA Global Discover SM, one of the world s most comprehensive patent search platforms Establishes a direct presence in South Korea with opening of Seoul office. Acquires Ipendo, a leading international IP management software and service provider with a strong position in the Nordic region. Develops a strategic alliance with Zacco Group, one of Europe s leading IP consultancies. 13

14 MAJOR MILESTONES AND ACHIEVEMENTS 2012 Cinven completes acquisition of CPA Global from previous shareholders, including ICG and founder shareholders, on 26 March. New regional headquarters opened in Munich (Central Europe) and Hong Kong (Asia Pacific) Acquires First To File, a Silicon Valley-based developer of market-leading electronic document management systems, specifically tailored for the IP industry. Opens new offices in Shenzhen the Company s first in Mainland China and Silicon Valley Acquires leading Nordic IP services provider Patrafee, a business that includes patent renewals; Patrawin IP management software; and IP Forecaster, the IP costforecasting software. The acquisition further strengthens CPA Global s presence in the Nordic region, particularly in the SME (small and medium-sized enterprises) patent renewals market. Peter Sewell takes on the role of Chairman from 31 March, and is succeeded as Chief Executive Officer by Tim Griffiths. 14

15 BOARD OF DIRECTORS & MANAGEMENT TEAM

16 BOARD OF DIRECTORS & MANAGEMENT TEAM Peter Sewell Chairman Peter Sewell took on the role of Chairman on 31 March 2014 after more than 14 years as Chief Executive Officer. Since joining CPA Global in 1999, Peter has led the Company s transformation into the global leader in IP management software and services, extending the product/service range, overseeing key acquisitions, and increasing worldwide reach. He has been instrumental in attracting new investment to help fund further business growth, and has pioneered CPA Global s expansion in Asia, including the establishment of delivery centres in India and a direct presence in China and South Korea. Prior to joining CPA Global, Peter led the development of a number of businesses in the financial services sector. Tim Griffiths Chief Executive Officer Tim Griffiths joined CPA Global at the beginning of February 2014 and formally succeeded Peter Sewell as Chief Executive Officer on 31 March. Tim was formerly Chief Executive Officer and Executive Chairman of the Williams Lea Group, a world-leading Business Process Outsourcing (BPO) company specialising in marketing services. He established Williams Lea as a BPO provider in 1993 and subsequently led the development of the Company into a $2 billion global services business, employing 12,500 people in 40 countries. Like CPA Global, Williams Lea established key operating centres in EMEA, the Americas and Asia Pacific, and built a market-leading service delivery centre in India. 16

17 BOARD OF DIRECTORS & MANAGEMENT TEAM Alasdair Marnoch Chief Financial Officer Alasdair Marnoch became Chief Financial Officer in December, succeeding Bill Fagan, who retired at the end of Alasdair brings 20 years experience as a senior financial professional to CPA Global. Before joining the Company, he was Chief Financial Officer at Iris Software Group, one of the UK s leading accountancy and payroll software companies. Alasdair is also a Non-Executive Director and Chairman of the Audit Committee for the UK Post Office. Simon Webster Chief Operations Officer Responsible for operations and service delivery of CPA Global s IP Portfolio Services, Simon Webster also oversees the Company s client service infrastructure, IT and operational strategy, policy, standards and investment. Prior to joining CPA Global in 2000, Simon spent the majority of his career in financial services. He was at the heart of the industry s client service revolution in the 1990s, where he managed programmes that delivered value to customers, staff and shareholders alike. Anand Sharma Director, IP and Legal Support Services Anand Sharma leads CPA Global s fastgrowing IP and Legal Support Services (IPLSS) business. Anand joined CPA Global in 2007 and previously served as Chief Financial Officer and Head of Management Services for the Company s operations in India. In his earlier career, Anand worked in businesses spanning consultancy, media, retail and manufacturing with leading companies such as The Times of India, Cendant and ebookers. 17

18 BOARD OF DIRECTORS & MANAGEMENT TEAM David Barker Partner, Cinven David Barker joined Cinven in 1996 and is a member of the Industrials and TMT (Technology, Media and Telecommunications) sector teams. He has been involved in numerous transactions, including Aprovia, CPA Global, Eutelsat, Host Europe Group, MediMedia, Springer and Ziggo. David has a BA in Natural Sciences from Cambridge University and is a Chartered Accountant. Stuart McAlpine Partner, Cinven Stuart McAlpine joined Cinven in 1996 and is a member of the Business Services and Healthcare sector teams. He has been involved in a number of transactions, including Amadeus, AMCo, CPA Global, Fitness First, Foseco, Medpace, Phadia, Sebia, Truvo and Unique Pub Company. Stuart was previously with the Royal Bank of Scotland in their Leveraged Finance Group, having moved there from Ernst & Young where he worked in Boston and London. Stuart has a BAcc in Accountancy from Glasgow University. 18

19 BOARD OF DIRECTORS & MANAGEMENT TEAM Executive Management Committee CPA Global s executive management committee, known as TradeCo, generally meets on a monthly basis. In addition to Tim Griffiths, Chief Executive Officer; Alasdair Marnoch, Chief Financial Officer; Simon Webster, Chief Operations Officer; and Anand Sharma, Director, IP and Legal Support Services who all sit on the Board the committee comprises the following individuals and roles: Philip Beville Chief Information Officer As CIO, Philip Beville is responsible for IT strategy and services across the entire business. Phil has extensive experience in developing and managing technology for large global service organisations. Previously, he was Director of Business Change and Chief Information Officer at St. James s Place Wealth Management plc, and, prior to that, Director, Information Technology, at Credit Suisse First Boston. Marc Daleiden Corporate Development Director Marc Daleiden is responsible for Strategic Planning, Mergers & Acquisitions and Human Resources at a global level. He joined CPA Global in April 2014 from TAG/DHL (formerly Williams Lea), where he worked in a number of senior management roles. Marc has a wealth of experience in acquiring and integrating businesses across Europe. Ruth Daniels General Counsel Ruth Daniels has global responsibility for CPA Global s legal function, which includes IP Legal Services. Ruth brings a strong legal and commercial management background to the Company, with particular experience in the e-commerce, technology, multimedia and social networking sectors. She began her legal career with DLA Piper in the UK, where she originally qualified as an IP lawyer, before moving in-house. Gerard Delaney Global Sales Director Gerard Delaney heads up worldwide sales for CPA Global. He brings 20 years of international sales, marketing and general management experience to the Company from successfully growing global, market-leading technology organisations. Previously, Gerard worked for telecoms software provider Acision in the UK, India and the US; Dilithium Networks (UK and US), BT Wholesale (UK), and Ericsson (UK, Sweden, China and Japan). 19

20 Our Shareholders CPA Global was acquired by Cinven in March Cinven is a leading European private equity firm, founded in 1977, with offices in Guernsey, London, Frankfurt, Paris, Milan, Luxembourg and Hong Kong. It acquires Europe-based companies that require an equity investment of 100 million or more. Its European focus and expertise are complemented by an ability to capitalise on global growth opportunities through its Asian Portfolio team. The firm focuses on six sectors: Healthcare, Business Services, Consumer, Financial Services, Industrials and Technology, Media and Telecommunications (TMT). Cinven acquires successful, high-quality companies and works with them to help them grow and develop, using its proven value creation strategies. It takes a responsible approach towards its portfolio companies, their employees, suppliers and local communities, the environment and society. 20

21 CPA Global Offices JERSEY (HEAD OFFICE) CPA Global Limited CPA Global Patent Research Limited Liberation House Castle Street St Helier JE1 1BL Jersey Tel: +44 (0) Fax: +44 (0) SYDNEY, AUSTRALIA CPA Global Software Solutions Australia Pty Limited Level 4 10 Barrack Street SYDNEY 2000 Australia Tel: +61 (0) Fax: +61 (0) HONG KONG, CHINA CPA Global (Asia) Limited 16/F, Prosperity Tower 39 Queen s Road Central Central Hong Kong, China Tel: Fax: SHENZHEN, CHINA Cee-Bo Global IP Management Services (Shenzhen) Limited Room 2660, Level 26 Anlian Centre 4018 Jin Tian Road Futian District Shenzhen China Tel: Fax: PARIS, FRANCE CPA Global Software Solutions SAS Immeuble Ampère 8, rue Eugène et Armand Peugeot Rueil Malmaison France Tél: +33 (0) Fax: +33 (0) MUNICH, GERMANY CPA Global Deutschland GmbH St.-Martin-Strasse Munich Germany Tel: +49 (0) Fax: +49 (0) FRANKFURT, GERMANY CPA Global Patent Research (Europe) GmbH Industrial Park Höchst Building F Frankfurt/M. Germany Tel: +49 (0) Fax: +49 (0) NOIDA, INDIA CPA Global Support Services India Pvt Limited GF, Tower-B, Tech Boulevard Plot No. 6, Sector Noida (UP) India Tel: Fax: GURGAON, INDIA CPA Global Services Pvt Limited Ground & First Floor, Tower B, Bldg No. 6, DLF Cyber City (SEZ) Gurgaon Haryana India Tel: Fax: REPRESENTATIVE IN JAPAN NGB Corporation Toranomon East Bldg, 7-13 Nishi-Shimbashi 1-chome, Minato-ku Tokyo, Japan Tel: +81 (3) Fax: +81 (3) SOUTH KOREA CPA Global (Korea) Limited Liability Company Suite 2731, 27F, Trade Tower Samsung-dong Gangnam-gu, Seoul South Korea Tel: +82-(2) ~5 Tel: +82-(2) MALMÖ, SWEDEN Ipendo Aktiebolag* Nordenskiöldgatan 8 SE Malmö Sweden Tel: +46 (0) Fax: +46 (0) LINKÖPING, SWEDEN Ipendo Systems AB* Research & Development Centre Gasverksgränd 2 SE Linköping Sweden Tel: +46 (0) Fax: +46 (0) STOCKHOLM, SWEDEN Patrafee Aktiebolag* Krukmakargatan 37 SE Stockholm Sweden Tel: +46 (0) Fax: +46 (0) Continued next page * CPA Global Group company 21

22 CPA Global Offices, continued LONDON, UNITED KINGDOM CPA Global Management Services Ltd CPA Global Legal Support Services UK Limited CPA Global Software Solutions (UK) Limited CPA Global Renewals (UK) Limited Trade Marks Directory Service 1 Cathedral Piazza 123 Victoria Street London SW1E 5BP United Kingdom Tel: +44 (0) Fax: +44 (0) ALEXANDRIA, UNITED STATES CPA Global North America LLC CPA Global Services US Inc Mill Road 12th Floor Alexandria, VA USA Tel: +1 (703) Tel: +1 (703) Fax: +1 (703) ARLINGTON, UNITED STATES CPA Global Support Services LLC 1611 North Kent Street Suite 1101 Arlington, VA USA Tel: +1 (703) Fax: +1 (703) BOISE, UNITED STATES CPA Global North America LLC First To File, Inc.* 250 South 5th Street Suite 500 Boise, ID USA Tel: +1 (208) HOUSTON, UNITED STATES CPA Global North America LLC Pitkin Road Suite 110 Spring, TX USA Tel: +1 (281) Fax: +1 (281) MINNEAPOLIS, UNITED STATES CPA Global Support Services LLC FoundationIP, LLC* 900 2nd Ave S Suite 600 Minneapolis, MN USA Tel: +1 (612) Fax: +1 (612) SAN MATEO, UNITED STATES CPA Global North America LLC First To File, Inc.* 1875 S. Grant Street Suite 650 San Mateo, CA USA Tel: +1 (650) Fax: +1 (650) * CPA Global Group company 22