Now with only 23.25 outstanding ASWX only has a Mkt. Cap of 372M vs the 500M FORTE was bought out for. ASWX has a long list of incredible clients. If you want to see them check out the thread. I posted them earlier. ASWX is a tremendous value by the numbers in this space, and compared to others looks to be a standout player in a "booming" Internet software application integration space.
10:08 ET ******
Forte Software (FRTE) 20 13/16 +3 13/16 : Sun
Microsystems acquires Forte. Forte's transition
into an application integration company looks so
promising that Sun agreed to acquire the entire
company for $540 million in stock, or $22.75 a
share. Each share of FRTE will be converted tax
free into 0.3 shares of SUNW. Forte stock has
been rising rapidly over the past two days, as
rumors of the merger circulated. Forte, which
started life as a tools company for distributed
application development, only recently developed a
new product line based on application integration
products. The application integration area is
booming, and has many players, including New
Era of Networks (NEON), Active Software
(ASWX), Crossworlds, and others. But Forte's
product uses Java as the front-end development
environment. This acquisition is all about the battle
for the enterprise computing environment. The
largest enterprise computing systems are usually a
jumble of multiple systems, linked together
haphazardly at best. Many systems represent a
virtual history of computing technology, with
mainframes still at the center of a corporate
system, with minicomputers running various
departments, and networked PCs on everyone's
desks. While the move to seamlessly integrate all
of these pieces has been going on for years, the
internet has really driven the need for integration.
Since one of Sun's primary strategic objectives is
to get Java accepted in the enterprise
environment, an application integration Java based
tool helps tremendously. It is a very positive
acquisition for Sun, and may even add to earnings
soon, although Forte will be run as a standalone
subsidiary. For long time Forte shareholders it has
been quite a difficult ride. Forte's all time high was
$81 3/4 a share, reached just 50 days after its
IPO in 1996. But for new Forte shareholders,
acquiring the stock for as little as $2 3/4 a share
just ten months ago, today's news is a bonanza.
-RVG
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