Document-design software giant Adobe Systems is acquiring Macromedia Inc. for approximately $3.4 billion in stock.
The California-based Adobe is best known for its Acrobat document sharing software.
One of Macromedia’s slogans is “experience matters.” Also a California-based company, Macromedia makes Dreamweaver and Flash.
Said Bruce Chizen, chief executive officer of Adobe:
“Customers are calling for integrated solutions that enable them to create, manage and deliver a wide range of compelling content and experiences across multiple operating systems, devices and media. Together, the two companies will meet a wider set of customer needs.”
“By combining our powerful development, authoring and collaboration software — along with the complementary functionality of PDF and Flash — Adobe has the opportunity to bring this vision to life with an industry-defining technology platform,” he added.
Under terms of the agreement, which still has to be approved by both boards of directors, Macromedia stockholders will receive Adobe common stock at a fixed exchange ratio.
Mr. Chizen said the two companies are developing integration plans that build on their cultural similarities.
“While we anticipate the integration team will identify opportunities for cost savings by the time the acquisition closes, the primary motivation for the two companies’ joining is to continue to expand and grow our business into new markets,” he said.
The acquisition is expected to close next fall.
Report by David Wilkening
