@Ventures Portfolio Company Enters into Definitive Agreement to be Acquired
Thursday November 2, 5:13 pm ET
Avamar Technologies to be Acquired by EMC
WALTHAM, Mass.--(BUSINESS WIRE)--CMGI, Inc. (Nasdaq: CMGI - News) announced today that one of the companies in which its @Ventures venture capital business has an investment, Avamar Technologies, Inc., has signed a definitive agreement to be acquired by EMC Corporation (NYSE: EMC - News). Under the terms of the agreement, EMC will acquire Avamar in a cash transaction for approximately $165 million. The acquisition is expected to be completed within 30 days.
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"We are excited about the contributions @Ventures is making to our company," said Joseph C. Lawler, Chairman, President and CEO of CMGI. "We continue to be encouraged by the future prospects of our venture capital investments, especially in light of an active M&A market that has been fueled by both strategic buyers and private equity financial buyers."
CMGI expects to receive initial net proceeds of approximately $28.5 million in its second fiscal quarter as a result of this transaction. The company may receive additional proceeds of up to $3.3 million, assuming there are no claims against funds to be held in escrow.
About CMGI
CMGI, Inc. (Nasdaq: CMGI - News), through its subsidiary ModusLink, provides industry-leading global supply chain management services and solutions that help businesses market, sell and distribute their products around the world. In addition, CMGI's venture capital business, @Ventures, invests in a variety of technology ventures. For additional information, see www.cmgi.com.
About @Ventures
@Ventures, CMGI's venture capital business, invests in early-stage and mid-stage technology companies. Formed in 1995, @Ventures has funded more than 70 Internet, software, IT and clean energy companies. The primary focus of @Ventures' fifth fund, formed in 2004, is on investments in clean energy technologies, including alternative energy, energy efficiency, and water purification and management. For additional information, see www.ventures.com. |
