Vignette snaps up Aussie IDM Player, Tower Technology

Vignette Corp. today announced that it has signed a definitive agreement to acquire TOWER Technology Pty Ltd (www.towertech.com), a leading enterprise document and records management vendor. The deal is worth $125 million in cash and stock. The takeover should help Vignette expand its portfolio of Web site content management and portal services by adding Tower's document and record management products. The company said it will pay $45 million in cash and hand over 29.8 million Vignette shares worth $80 million. Tower's products include TOWER IDM - an integrated document processing system, Seraph - a records management product geared towards compliance, and Web Capture - a capture and playback system for web sessions and transactions. Vignette reported fourth quarter revenue of $39.2 million, compared to $40.4 million during the same period a year ago. Net income was $10.3 million, compared to a loss of $160.8 million the previous year. For the full year ended Dec. 31, Vignette reported revenue of $158.3 million and a net loss of $33,000. Last year, the company posted $155.1 million in revenue and a loss of $252.8 million. Read the Press Release.