Archive for September 16th, 2009

Adobe´s innovation through aquisition continues, next in line is Omniture. On a larger scale, this indicates a growing market optimism that the time is right for investments. This article is by way of Bloomberg.

“Sept. 16 (Bloomberg) — Adobe Systems Inc., the world’s biggest maker of graphic-design software, agreed to buy Omniture Inc. for $1.8 billion, expanding into programs that track the performance of Web sites and online advertising campaigns.

Adobe will pay $21.50 a share for Omniture, 24 percent more than the closing price yesterday. Adobe fell as much as 4.9 percent in extended trading after announcing the acquisition and forecasting sales that missed some analysts’ estimates.

Chief Executive Officer Shantanu Narayen is pushing Adobe into new businesses at a time when customers are pulling back on purchases of the company’s design software. Omniture gives Adobe a steady source of revenue and may mean investors will focus less on periodic upgrades to products such as Adobe Creative Suite, said Michael Olson, a Minneapolis-based analyst with Piper Jaffray & Co.

“Adobe is trying to diversify beyond being just a maker of development tools,” Olson said. “Any time you do a big acquisition, the acquirer’s shares are down because of the element of risk that some investors aren’t comfortable with.”

Others offering opinion on the topic include: Barrons, Zikkir, Econsultancy, Seeking Alpha.

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