Eric, here is some new info. about ONTC's latest puchase from 8K form. It comes out after today's close. Lucky guys jumped in before the closing bell. ONTC is going to use cash and shares to pay for the purchase. This purchase won't hurt their next Q earning. They estimate that one share is worth of more than 6 1/2. I includes here a section of 8K. Regarding Novell's interrest in this company, I agree with your thinking. They have the right products for the internet market. Their products allow administrators to better control a variety of computers on the network. You may know that companies buy different types of PCs and servers and operating systems over time, as determined by evolving computer products, available resouces, and especially diverse needs from different departments. I also found through the security filing data base that Metlife bought an unspecified number of shares at the end of January.
On January 28, 1997, Wilma 96 Vermogensverwaltungs GmbH ("Wilma GmbH"), a
wholly-owned subsidiary of ON Technology Corporation ("ON Technology"), entered
into a definitive Stock Purchase Agreement (the "Purchase Agreement") with Hans-
Till Freiherr von Ruxleben, Liliane Freifrau von Ruxleben, Eugen Heiter, Iska
Heiter, Harald Moller, Reinhold Weber and Jochen Tschunke (the "Sellers") and
csd Software GmbH, a German corporation ("csd"), pursuant to which Wilma GmbH
purchased all of the outstanding capital stock of csd. The purchase price
consisted of: (i) $5,000,000 in cash and (ii) approximately 1,315,790 newly
issued shares, subject to certain post-closing adjustments, of ON Technology
common stock with a value of $7,393,160 based on the average closing price of ON
Technology Common Stock during the five business days preceding and the five
business days following the date of execution of the definitive Purchase
Agreement.
csd is engaged in the development, manufacture and sale of PC desktop
software management tools. csd has its products running on networks as small as
100 nodes and as large as 50,000 nodes. csd's INTEGRA product family provides
an integrated set of management tools that allows organizations to upgrade or
install software applications, manage configurations, and do remote control on
networked PCs running DOS, Windows, Windows 95 or Windows NT. Integra supports
network servers running Unix, NetWare, or Windows NT, and networks running IP or
IPX protocols. INTEGRA differentiates itself from other software management
products by making it possible for the network administrator to upgrade the
entire operating system on a PC. csd's principal asset consists of technology
related to its software products.
The consideration payable by ON Technology in connection with its
acquisition was determined by arm's length negotiations among ON Technology, the
Sellers and csd. Funds for the cash portion of the purchase price were provided
from ON Technology's available cash deposits. None of the Sellers has a
material relationship with ON Technology, any affiliate of ON Technology, any
director or officer of ON Technology, or any associate of any such director or
officer.
Jia-Hao |
