Autodesk Signs Definitive Agreement to Acquire AliasAcquisition to Extend Autodesk's 3D Graphics Leadership in the Manufacturing and Media and Entertainment Industries
SAN
RAFAEL, Calif., Oct. 4 /PRNewswire-FirstCall/ -- Autodesk, Inc.
(Nasdaq: ADSK) today announced that it has signed a definitive
agreement to acquire Alias(R), a privately held developer of 3D
graphics technology, for $182 million in cash. This acquisition will
grow Autodesk's expertise and offerings for the design of consumer
products and automotive, as well as in the media and entertainment
markets. Autodesk anticipates that the transaction will close within
the next four to six months.
"This acquisition brings to
Autodesk a highly talented group of individuals, a wealth of
technologies and a great set of products," said Carl Bass, COO of
Autodesk. "Alias' technology spans several of our most important
markets and augments the synergy between our design and media
businesses. Our design customers are demanding more powerful
visualization, animation and publishing capabilities. Our media and
entertainment customers are increasingly using the data created by our
design applications for broadcast, film and games projects. By
combining the technology and talents of our two companies, we will be
better able to continue delivering solutions that address our
customers' complex needs."
Founded as Alias Research in 1983,
Alias is headquartered in Toronto, Canada. Alias customers are some of
the world's premier entertainment and manufacturing companies,
including Industrial Light & Magic, DreamWorks SKG, Nintendo,
General Motors and BMW. Alias revenues were $83 million in the fiscal
year ended June 30, 2005.
Alias' product lines comprise
sketching, animation, visual effects, design, modeling, rendering and
reviewing solutions. Alias MotionBuilder(R) is Alias' 3D character
animation product, Alias FBX(R) is widely used in the exchange and use
of 3D content, and Maya (R) is the company's Academy Award-winning 3D
application. These products will augment Autodesk's offering in the
film and video and interactive games segments. Alias StudioTools(TM)--
software for design tasks from 2D sketches to production models -- will
add industrial design and high-end visualization capabilities to
Autodesk's manufacturing solutions. Autodesk will continue to develop
the Alias product lines in conjunction with Autodesk's complementary
products and technologies.
"This acquisition is designed to
leverage the strengths of both companies," stated Doug Walker,
president and CEO of Alias. "Alias' customers will benefit from nearly
$300 million in R&D spending while having access to new and
complementary products and technologies. Together, Autodesk and Alias
will deliver products and services that give form to great ideas from
the fantasy world of film to the factory floor."
The
acquisition is subject to a number of closing conditions, including
regulatory approval. Targeted non-GAAP EPS for this transaction, which
excludes in-process R&D expenses, acquisition-related restructuring
costs, equity-based compensation expenses, and the reduction of
deferred revenues assumed by Autodesk as required by US GAAP, is
expected to be slightly accretive to earnings in fiscal 2007. Autodesk
is currently unable to provide estimates of the future impact of this
transaction on GAAP earnings per share. Absent the impact of the
acquisition, Autodesk has not changed any of its previously issued
guidance.
Additional InformationAdditional information about this transaction is available at:
http://www.autodesk.com/autodeskandalias.
Safe Harbor StatementThis
press release contains forward-looking statements that involve risks
and uncertainties, including statements regarding the impact of the
acquisition on Autodesk's product offerings and the performance of its
business, costs associated with the acquisition, estimated costs of the
deal, the adjustment of Alias' deferred revenue, restructuring charges,
and compensation expenses related to the acquisition. Factors that
could cause actual results to differ materially include the following:
difficulties encountered in integrating merged businesses;
uncertainties as to the timing of the acquisition; the satisfaction of
closing conditions to the transaction, including the receipt of
regulatory approvals; whether certain market segments grow as
anticipated; the competitive environment in the software industry and
competitive responses to the proposed acquisition; and whether the
companies can successfully develop new products and the degree to which
these gain market acceptance.
Further information on
potential factors that could affect the financial results of Autodesk
are included in the company's report on Form 10-K for the year ended
January 31, 2005 and Form 10-Q for the quarter ended July 31, 2005
which are on file with the Securities and Exchange Commission.
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Read The Deal about the Deal (an interview with Autodesk and Alias) for more information
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