Sybase to Acquire Extended Systems

Sybase plans to fold Extended Systems' full product set into Sybase's iAnywhere data mobility and mobile device management business, officials say.

Moving to build a stronger European presence and inject new mobile middleware into its iAnywhere Solutions subsidiary, Sybase on Friday has agreed to purchase Extended Systems in an all-cash deal for approximately $71.3 million or $4.46 per share.

Sybase Inc. will fold the full product set of Boise, Idaho-based Extended Systems Inc. into its iAnywhere data mobility and mobile device management business, said Marty Beard, vice president of corporate development for Dublin, Calif.-based Sybase.

Extendeds portfolio includes OneBridge, a server-based mobile offering used to secure access for mobile device applications and groupware; database software targeted at Delphi developers; and SDKs (software development kits) to push wireless connectivity.

Beard said that Extendeds OneBridge platform will enable Sybase to enhance its e-mail mobility capabilities, a critical area many customers are focusing on to begin their initial mobile push toward expanding business processes beyond the enterprise.

"One thing were finding is initial discussions with enterprises usually starts with e-mail. Its an easy palace to start for a company, because once you get by that, then you get to a discussion about extending applications. [Extendeds mobile] e-mail [technology] is better," said Beard.

Beard said that Sybase will take advantage of Extendeds established relationships and embedded software business around Bluetooth, IrDA, and OMA (SynchML) technologies which the company has sold to numerous chip manufacturers and mobile device makers.

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Extended Systems proven track record in Europe was also a factor for Sybases acquisition push.

He said that Extended, which features about 180 employees in North America and Europe, currently conducts about 35 percent to 40 percent of its business in Europe.

Future acquisitions on Sybases radar should include functionality such as mobile security and vertical mobile applications, such as health care, manufacturing or retail.

The deal to acquire Extended Systems is expected to close by the end of the year, said Sybase officials.

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