Adobe Systems (ADBE), which makes the Photoshop and Acrobat software, recently announced that it agreed to acquire Swiss-based Web content management company Day Software Holding AG. Although the $240 million acquisition is not expected to be a game changer, it is in line with the company’s acquisition strategy and its strong emphasis on boosting its Web content management and enterprise software capabilities.
Day Software specializes in high growth Web content management, digital asset management and social collaboration businesses. Over the past few years, the Swiss software maker has gained a commanding position in the customer experience management space. This has caught Adobe’s attention, even as it integrates Omniture. The deal, therefore, appears to be a strategic fit and could result in additional synergies if Adobe integrates Day Software’s experience in customer experience management with Omniture’s Web analytics capabilities. Adobe bought Omniture, which makes software for analyzing consumers’ website usage patterns in September 2009.
Recently, Adobe also announced the realignment of its business units, with a clear focus on enabling customers to enhance their digital experiences. Although Adobe generates half of its revenues from its Creative Suite product lines, it has increasingly looked for opportunities in the customer experience management space that helps personalize visitor experience and enhance web-based engagement.
After the regulatory process is completed, Day Software will operate within Adobe’s Digital Enterprise Solutions business unit and Day’s Chief Executive Erik Hansen will join Adobe.
Adobe expects the acquisition to close in the fiscal fourth quarter and does not expect the deal to have a material impact on its earnings in the current financial year. However, the acquisition is likely to be accretive to the company’s earnings in 2011.
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