Macromedia to Buy Altsys Corp

By Rosenberg, Jim | Editor & Publisher, November 5, 1994 | Go to article overview

Macromedia to Buy Altsys Corp


Rosenberg, Jim, Editor & Publisher


SAN FRANCISCO-BASED multimedia software tools developer Macromedia signed a definitive agreement to acquire all outstanding shares of Altsys Corp. stock for 4.3 million shares of its common stock in a deal valued at just under $71 million.

The acquisition is subject to Macromedia shareholders' approval, will be treated as a pooling of interests and is expected to be completed in January.

In a prepared release late last month, Macromedia president John Colligan said the acquisition will quadruple his company's registered customer base to more than 250,000.

Altsys and Macromedia said they will begin working together immediately under terms of a separate agreement.

Altsys will remain in Richardson, Texas, as the Digital Arts Group of Macromedia, where its cofounders, chief executive Jim von Ehr and engineering vice president Kevin Crowder, will become group vice president and general manager and Macromedia product integration vice president, respectively. Both are to be nominated as Macromedia directors.

Also in January, Altsys is slated to regain control of the FreeHand illustration program it developed. FreeHand had been licensed to Aldus Corp., which is giving up its marketing rights as a result of its merger with Adobe Systems Inc., creator of Illustrator, FreeHand's principal competitor.

Complementing FreeHand is Altsys' Fontographer font-editing program. …

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