IT solutions and staffing provider Ciber Inc. (NYSE: CBR) agreed to sell its business in Germany and Denmark to Allgeier SE, a Munich-based IT staffing and software firm.

According to a filing with the US Securities and Exchange Commission, the firms signed a purchase agreement for the sale of all of the outstanding shares of Ciber Germany, Ciber France SAS and Ciber Danmark. The transaction is expected to be completed in the first quarter of 2017, subject to the satisfaction of closing conditions.

According to the filing, Blitz 17-11, a subsidiary of Allgeier, agreed to pay an aggregate of approximately $8.8 million in three separate installments — at closing, in March 2018, and in March 2019 — subject to the achievement of certain operating performance targets for fiscal years 2017 and 2018.

Ciber anticipates using the proceeds from the Ciber Germany sale for working capital and to use up to 50% of the net proceeds to reduce its borrowings under its ABL facility with Wells Fargo Bank N.A. The Denver Business Journal last week reported Greenwood Village, Colo.-based Ciber had a little more time to strike an M&A deal or pay off a Wells Fargo & Co. credit line, but the terms of its extension don't look easy.

“The sale of Ciber Germany and Ciber Denmark is consistent with our announced strategy to divest non-core assets,” said Ciber President and CEO Michael Boustridge. “With Allgeier, we have found a terrific home for our German and Danish employees and customers.” 

The Greenwood Village, Colo.-based company in September agreed to sell its business in Sweden to Bouvet Stockholm AB, a service provider of information technology, digital communication and enterprise management. ManpowerGroup (NYSE: MAN) in August agreed to acquire Ciber’s Norwegian business for $7.0 million; that deal followed ManpowerGroup’s acquisition of Ciber Netherlands in June for $25 million.

Allgeier maintains more than 90 branches in German-speaking countries, the rest of Europe, as well as in India, Singapore, Vietnam, Mexico and the US. The company counts more than 3,000 customers from almost all business sectors, more than 6,100 salaried employees and more than 1,300 freelancers. Allgeier generated EUR445 million of revenue in 2015 from continuing operations.

“This acquisition reflects our strong commitment to the future of SAP and the value for our customers by bringing enterprise IT-services and new SAP technologies together,” said Hubert Rohrer, member of the executive board of Allgeier SE. “Our interests are completely aligned with Ciber as we transition, support and deliver for our customers.”