Customer relationship management software developer Calico Commerce Inc said Friday it has signed a deal to acquire ConnectInc.com Co for about $90m in stock. ConnectInc.com makes products that connect on-line buyers and sellers over over the internet. Under the deal, its MarketStream product – which consists of product catalog, order management and business to business e-commerce process automation technology – will be added to Calico’s eSales CRM application.
In addition, Calico will also offer Connect.com’s URLe2Market.com (early to market) practice for launching and hosting dotcom start-ups and its Your MarketStream branded sites. This acquisition is an important step in Calico’s strategy to provide complete e-commerce solutions to our customers and expand our offerings, Calico chief executive Alan Naumann said in a statement.
Under the deal, Calico will swap 0.081 share for each ConnectInc.com share, for a total of about 1.2 million Calico shares. The deal values ConnectInc.com at about $5.45 per share, well above the company’s $4.25 closing price on Thursday on the Nasdaq stock market.
The deal, which is expected to close in the first quarter of 2000, is subject to shareholder and various regulatory approvals. It will be accounted for as a purchase transaction.
