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Actuate Corporation Message Board

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  • bimmertx bimmertx Nov 6, 2008 3:45 PM Flag

    A deal is probably on the table

    RIchard, I think you are on drugs on expectations for this company. They would take $9 in a heartbeat. $6 would be an incredible offer. They haven't show any growth in years.

    Their technology isn't anything special.

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    • bimmertx......I just do not see them taking $9.00 for this company....ACTU is a strategic play , for a buy out....not a revenue play......That is why BOBJ , COGN , & others sold first.....they were revenue plays....& they did not have the growth tarmac , going forward...ACTU made that clear on the CCalls in the past....So, the Big Guys, did not buy , any game changing tec, plan , when they bought BOBJ or COGN , & others that were bought.....

      ACTU could sell for 20 X revenues.....IMHO....

      I have been following the multiple trend primarily since Red Hat’s acquisition of JBoss in April 2006, at what might have turned out to be as high as 100 times revenue. At the demonstrable peak in October-December 2007, Citrix (CTXS) acquired Xensource and Yahoo (YHOO) acquired Zimbra for around the same multiple. By April of 2008, Sun (JAVA) “only” paid 20x annual revenue for MySQL. Although there was no public information available, I made some estimates concerning Oracle’s (ORCL) acquisition of Innobase and Sleepycat, IBM’s (IBM) acquisition of Gluecode, the Iona (IONA) acquisition of LogicBlaze, and other deals that happened before and after these highly publicized transactions.

      • 1 Reply to richardtherings
      • If another company wants Actuate, Actuate won't really have a say. Oracle gets what they want if they want it. Also the acq. company could care less about Actuate's mgmt. staying. They can lock up the key engineering and consulting people via a workout plans.

        I think Actuate got very concerned that someone would do a hostile take over once the share got down in the $2.50 range and with all the cash. A friendly offer could have been made for $4/sh. This was a smart and quick way to get the price back up to the mid $3's. It also takes a takeover price back up to $6.

        I would love it, but I don't see anyone offering $7, 8 or 9 a share for this company. Its not that special.