Wednesday, May 21, 2008

Wednesday, May 7, 2008

CodeGear + Embarcadero = True

As I'm sure you've seen by now, Borland is selling CodeGear to Embarcadero for $23M in cash. Borland also gets to keep $7M in accounts receivables, so the whole package is about $30M.

We had a very upbeat company meeting today, where a lot of questions were answered, and it was clear that CodeGear's leadership is very enthusiastic about this deal. There are a lot of synergies, and not a lot of overlap, and as others have said - once the deal closes (in 30-60 days) we can start doing things that none of us could have done on our own before.

Some  people have said that $30M is a chump change. Cough - I wish I had chump change in that case. ;)

One perspective you can put things is in relation to market caps. So, simply for the exercise of my brain, I noticed that the market cap of BORL as of the close today was $110M according to Yahoo Finance. Based on that number, the CodeGear deal valued at $30M would put us at about 27% of the total market cap. Not too bad at all if you think about it.

The future is bright - I'm convinced that all of our products will continue to grow and prosper under the Embarcadero name. Stay tuned for lots of new things over the coming months and years as well.