Compuware and Gomez come together in $259 million acquisition

Peter Dinham
Thursday, 08 October 2009 10:36

IT Industry - Strategy

Global software and IT services company, Compuware, has signed an agreement that will see it acquire privately-held Web applications provider, Gomez, in a $259 million cash deal expected to be completed in November.

Compuware president and COO, Bob Paul, said today that the company had signed a definitive agreement to acquire Gomez, “the leader in Web application experience management.”

 According to Paul, together, Compuware and Gomez provide the industry’s “only unified application performance management solution, spanning the enterprise and internet.

“For business and IT executives who are moving more business-critical applications onto the Internet, Compuware can now offer unified visibility, isolation and resolution of application performance problems from the data center to the customer. Competitive offerings only cover isolated portions of the enterprise-Internet application delivery chain.”
 
Paul said that Lexington, Massachusetts headquarter, Gomez, employs 272 people worldwide and that substantially all of the employees, including the leadership team, were expected to remain with Compuware after the close of the transaction.

Gomez CEO and president, Jaime Ellertson said the agreement with Compuware marked a “fundamental breakthrough in how IT and business leaders can manage the performance of all the applications that drive their businesses.

“The complementary nature of our products and our already-existing product integration will allow Compuware and Gomez to rapidly deliver dramatically extended value to our mutual customers.”

A joint statement from the two companies said that, with the addition of Gomez - which delivers its offering through a Software as a Service (SaaS) model to Compuware’s SaaS revenues – “Compuware becomes the world’s leading SaaS infrastructure management provider,” with SaaS continuing to become a “more desirable way to acquire software due to a lower cost of ownership and faster, easier adoption and maintenance.”