Acquistion announcement. Purchasing assets only for all cash consideration. This is a big change for them (usually a big stock/option component)!
This has been out all day. Is no-one listening anymore?
Rob
Open Text Announces Acquisition of OnTime Software Product Line from FTP Software
December 4, 1997 8:52 AM EST
Strategic Purchase to Combine Enterprise-Scale Calendaring and Scheduling Into Open Text's Livelink Intranet Technology
CHICAGO, Dec. 4 /PRNewswire/ -- Open Text Corporation (Nasdaq: OTEXF) today announced that it has signed a purchase agreement to acquire the assets of Campbell Services (OnTime software) from FTP Software, Inc. (Nasdaq: FTPS) of North Andover, MA, for cash consideration of approximately US $6.7 million.
"The purchase of OnTime software begins our strategy of rapid growth through well-thought-out acquisitions," said Tom Jenkins, Chief Executive Officer, Open Text Corporation. "With the OnTime software operations, we saw a unique opportunity to merge enterprise-level group scheduling into our flagship product, Livelink Intranet."
"FTP Software is pleased that the OnTime group has been acquired by Open Text," said Doug Flood, Senior Vice President, FTP Software. "The OnTime group is a close strategic fit with Open Text's business strategy and core competencies. The sale of OnTime will complete FTP's plan to sell non-strategic businesses that had been discontinued in 1996."
"Both Livelink and OnTime customers will reap the benefits of this acquisition," said Brett Newbold, President of Open Text. "Open Text plans to fully support OnTime customers and will continue to enhance OnTime. We plan to invest in tight integration between Livelink Intranet and OnTime so that both Livelink and OnTime customers see tremendous value added to their original investments. In addition to strong enterprise group scheduling technology, OnTime brings a substantial user base which expands Open Text's installed base to over a million seats."
The next version of Livelink Intranet will emphasize enterprise-wide project collaboration more than ever, and group scheduling will only serve to enhance Livelink's already powerful capabilities.
"We are happy to be joining Open Text and pleased to have the opportunity to bring our enterprise-level strategies to collaborative software," said Anik Ganguly, President of OnTime. "We think OnTime and Livelink are a solid fit together."
The combined companies will employ nearly 400 people, with revenue for the last four quarters of approximately US $34 million. Open Text has offices in Waterloo, Ont.; Southfield, Mich.; Bannockburn, Ill.; San Mateo, Calif.; London, England; Amsterdam, Netherlands; and St. Gallen, Switzerland. It also has sales offices throughout North America.
About OnTime
OnTime Enterprise is a client and server application for group and personal scheduling that supports TCP/IP, Novell NetWare and Banyan VINES networks and works on DOS, Macintosh, and Microsoft Windows 3.1, Windows 95 and Windows NT desktops. The OnTime Web Edition enables anyone with a Web browser to access their OnTime calendar information from anywhere they have Internet access, making OnTime users' calendar information more accessible, particularly when working away from the office. All calendar data is accessed in real time, providing users access to reliable scheduling information.
About FTP Software
FTP Software, Inc. (Nasdaq: FTPS) provides open, secure and managed networked application connectivity products that enable users to easily access and share information, regardless of computer platform, operating system or location. With over 10 million installations, FTP Software is the 1996 worldwide market leader in network application suite technology, provides award-winning services and has more than a decade of experience and leadership in developing and integrating business applications for networks. FTP Software may be contacted at 978-685-3300 or at www.ftp.com.
About Livelink
Livelink Intranet is a highly scalable, collaborative knowledge management application for intranets. Livelink's richly-featured enterprise document management, workflow, project collaboration and search engines are tightly integrated into an off-the-shelf application that is easily customized and extended to fill a broad range of information and knowledge management needs. Livelink servers are fully Web-based and open-architected to ensure very rapid deployment, requiring just a standard Web browser on users' desktops to access its full functionality. Livelink runs on Microsoft Windows NT and the leading UNIX platforms and supports most popular relational database management systems. In addition, a workgroup version of Livelink is bundled with Netscape SuiteSpot.
About Open Text Corporation
Open Text Corporation's software and services enable Global 2000 companies to leverage the global reach and openness of intranets, truly "Putting the Web to Work."(TM) Open Text's dramatic growth has been fueled by the rapid market acceptance of its innovative collaborative knowledge management system, Livelink. The company has been named the growth leader by the Delphi Group and the market share leader by International Data Corporation. Further information about the company, its products and services, partners and customers can be found at opentext.com.
This news release may contain forward-looking statements relating to the future performance of Open Text Corporation. Forward-looking statements, specifically those concerning future performance, are subject to certain risks and uncertainties, and actual results may differ materially. These risks and uncertainties are detailed from time to time in the company's filings with the Securities and Exchange Commission (SEC), including the final prospectus for the company's initial public offering of common stock in January 1996, and Form 10-K for the year ended June 30, 1996 and 1997; and Form 10-Q for the quarter ended September 30, 1997.
NOTE: Livelink Intranet, Livelink Search, Livelink Library, Livelink Workflow and Livelink Collaboration are trademarks of Open Text Corporation. All other trademarks are the property of their respective companies. SOURCE Open Text Corporation
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