MERGERS/ACQUISITIONS/ALLIANCES: Web Authoring And Design Tool Expands Adobe's Web Product Line Adobe Systems Inc. of San Jose, Calif., has acquired GoLive Systems Inc., maker of the GoLive CyberStudio professional Web design and publishing software and the GoLive Web Publishing System. Adobe says the buy underscores its strategy to lead Web publishing with a complete suite of professional design and publishing tools. "Combining GoLive CyberStudio with Adobe Photoshop, Adobe ImageReady, Adobe ImageStyler, Adobe Illustrator and Adobe Acrobat gives Adobe the only full suite for professional Web design and publishing," says John Warnock, Adobe co-founder and CEO. Founded in 1996, privately-held GoLive is located in Menlo Park, Calif.

Software Industry Report, January, 1999

Gores Technology Group Acquires Development Tool Maker Aonix

The Gores Technology Group (GTG) is expanding its family of hardware and software companies by acquiring software development tool products and services provider Aonix from Thomson CSF.

Astea Sells Abalon Subsidiary For $9.5 Million

Astea International, the Horsham, Pa., developer and supplier of Customer Management Solutions (CMS) software, has sold its Abalon subsidiary to Industri- Matematic International Corp. for $9.5 million in cash. Astea President Jake LaMotta says the sale will allow his company to re-focus on its core competencies: development of leading-edge, mission critical customer relationship management solutions. Astea also named John Jacobs its new Vice President of Software Development. "John's appointment demonstrates the company's commitment to strengthen its software development pipeline," says LaMotta. In his most recent role as group manager for one of SMS' new strategic clinical information systems, Jacobs spearheaded development of an enterprise- wide, three tier, Microsoft-centric product.

Dynamics Research Invests In Internet Commerce Firm

Dynamics Research Corp. has acquired a 37 percent equity interest in privately- held Electronic Press Services Group Inc. (EPSG) of Cambridge, Mass., in exchange for an exclusive license to DRC's VisualMagic, a proprietary, object- oriented software development environment, and $1.3 million in cash. DRC's VisualMagic development staff has transferred to EPSG, a provider of Internet commerce solutions for small- to medium-size merchants, banks, and other customers seeking to go online. EPSG's solutions include turnkey online storefronts and transaction processing capabilities highly customized to integrate with existing internal systems and with financial institutions. The firm was founded in 1994 and has operated independently since it completed a management-led buyout in July 1998. "This transaction provides us with an excellent opportunity to participate in the rapidly expanding electronic commerce market," says Albert Rand, president and CEO of DRC. "We believe EPSG is a technically savvy outfit that already has a strong customer base in the applications development market for online merchants."

Baan Company Receives $75 Million Equity Investment From Fletcher International

Netherlands-based enterprise software maker Baan Company N.V. has is getting a $75 million cash infusion from Fletcher International Limited under an agreement which also provides for an additional potential investment of up to $150 million for a possible total of $225 million. Fletcher made the investment in exchange for Baan common shares which will be purchased between August 1 and December 31, 2001. Baan Chairman Tom Tinsley says the investment "positions us to realize future growth and underscores our long- term commitment to our customers." Fletcher International Limited, a private fund affiliated with Fletcher Asset Management Inc., makes direct investments in a wide range of technology companies.

eSynch Acquires Consumer Software Maker Kiss Software

eSynch Corp., best known for its eSynch ESD sales tool, is buying Kiss Software Corp., the Newport Beach, Calif., developer/publisher of such popular utilities as Speed Surfer Internet Toolbox and Modem Wizard. According to eSynch CEO Tom Hemingway, "This will provide eSynch with the management required for maintaining rapid growth and implementing our acquisition strategy."

Interactive Acquires Legend Entertainment

Further expanding its internal software development capabilities, New York-based game software maker GT Interactive Software Corp. has acquired Legend Entertainment, an entertainment software developer known for titles such as Mission Critical and Death Gate, for an undisclosed amount of cash. Legend joins GT Interactive's established development studios -- Cavedog Entertainment, Humongous Entertainment, SingleTrac, Oddworld Inhabitants, Bootprint Entertainment and Reflections.