Altium to acquire fellow Australian software firm
9/16/2010 2:33 PM EDT
SAN FRANCISCO—Design software vendor Altium Ltd. said Thursday (Sept. 16) it intends to acquire Morfik Technology, an Australian provider of software tools and subscriptions for building web-based applications, in a stock deal worth about $3.3 million.
Altium (Sydney) said Morfik's software engineering approach to web-application development makes it suitable for building web-based systems for domains such as electronics design, which involve large amounts of complex, dynamic content. Altium said it has has been using Morfik's technology and development tools for a number of years as key elements in the development of its own web-based infrastructure for the electronics design process.
"Altium's task is to create the design solution that lets any electronics designer do this, and provide the methodologies, tools, infrastructure and services needed to do so," said Nick Martin, Altium's CEO, in a statement. "We believe that cloud-based software applications, engineered to harness the power of Internet-enabled intelligent devices, are a vital part of this future. Therefore, this acquisition provides a powerful step forward for Altium in this area."
Altium said it would continue to support Morfik's existing business model, providing software used to design, engineer and deploy cloud-based software applications.
Altium would issue 13.3 million fully paid ordinary shares, representing between 14 and 15 percent of all its outstanding shares, for 100 percent of Morfik's outstanding shares. Altium's stock price closed at 25 cents on the Australian stock market Thursday, which would value the transaction at about $3.3 million.
All members of Morfik's team will join Altium, and Altium will acquire all Morfik's IP and other assets, Altium said.