Macromedia Acquires Allaire
Macromedia (www.macromedia.com), makers of Flash and other graphics tools, said it was acquiring Allaire (
www.allaire.com), in a $360 million deal. The new company, which will continue to be called Macromedia, will unite a large base of Web developer and authoring tools.
Rob Burgess, chairman and CEO of Macromedia, will continue as chairman and CEO of the combined company. Jeremy Allaire, CTO of Allaire, will be the CTO of Macromedia, reporting to Kevin Lynch, president of Macromedia products.
"This merger is a natural. Combining the technology and talent of Macromedia and Allaire will bring Web professionals a complete, accessible way to build engaging, dynamic Web sites and applications," said Burgess. "With this merger, we are taking the next logical step in empowering developers to create — and users to enjoy — a new generation of compelling Web experiences on everything from personal computers and set-top boxes to PDAs and beyond."
"Allaire and Macromedia share a common vision, business model, and corporate culture," said David Orfao, president and CEO of Allaire. "This merger will bring together complementary products, extensive channels, and first-rate service organizations into a powerful combined company that will lead the Web software industry."
Macromedia will exchange 0.2 shares of its stock and $3 in cash for each Allaire share. The deal is expected to close by the second calendar quarter of 2001. The company's headquarters will be in San Francisco — home to Macromedia — with additional offices in Boston.In December, Macromedia's subsidiary, Shockwave.com, said it was merging with AtomFilms.