Macromedia merger rubber-stamped
Macromedia and Allaire have been granted early termination of the waiting period for their merger.
Both companies are expected to unite around 20 March, subject to stockholder approval. Under the agreement’s terms Macromedia will acquire Allaire, the merged company will retain Macromedia’s name and Rob Burgess, chairman and CEO of Macromedia will continue as chairman and CEO of the new alliance.
Fully diluted, the deal is worth $360 million. Macromedia expects its stand-alone revenue for the quarter ended 31 March to be in the range of $85 to $90 million. As the merger is expected to close on 20 March, Macromedia will include the last 10 days of Allaire’s March quarter. The company does not expect Allaire’s results for this period to affect its earnings.
Macromedia will exchange 0.2 shares of its stock and $3 in cash for each Allaire share. The company will have headquarters in San Francisco, and offices in Boston.