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Open Text Offers to Buy Rival PC Docs for C$162 Mln in Stock
Bloomberg News
December 1, 1998, 6:28 a.m. PT
Waterloo, Ontario, Dec. 1 (Bloomberg) -- Open Text Corp.
offered to buy rival PC Docs International Inc. for C$162 million
(US$106 million) in stock to expand its software-making business.
Under the proposal, Open Text would exchange one share for
every four shares of PC Docs common stock. That formula values PC
Docs shares at C$6.98 each, a premium of 36.8 percent over their
closing price yesterday in Toronto.
Open Text makes software to help run the Internet, the
worldwide public computer network, and corporate networks. PC
Docs creates programs to help companies like financial
institutions, law firms and utilities manage documents.
''By joining forces, we believe our combined operations
would achieve increased efficiencies and enhanced support for our
existing and new customers,'' Open Text Chief Executive Tom
Jenkins said in a statement.
Open Text shares closed at C$27.90 yesterday in Toronto. |
