CA, Inc. announced it has completed its acquisition of privately-held Nimsoft, Inc., a provider of IT performance and availability monitoring solutions for emerging enterprises and Managed Service Providers (MSPs).
The transaction was valued at $350 million in an all-cash transaction. Nimsoft's operations will report under CA's Cloud Products and Solutions Business Line. It is anticipated that the majority of Nimsoft's approximately 120 employees will remain with CA after the completion of the transaction, which is expected to close by the end of CA's fourth fiscal quarter, ending March 31, 2010.
William McCracken, CEO of CA, said at a press conference announcing the acquisition, that the acquisition extends the company's ability to meet the IT management needs of emerging enterprises and MSPs, both of which are playing leading roles in the growth of cloud computing. "Why did we do this? We did this because it lines up with our strategy," William McCracken, CEO of CA, said at a press conference announcing the acquisition. "It lines up with new customer bases that broaden the customers we have out there and that's one of the clear pieces that we said we wanted to get at and get after. It lines up with a go to market that's different than what we've been able to accomplish in the past ourselves."
The Nimsoft Unified Monitoring solution is designed to allow MSPs complete visibility into the performance and availability of their customer's business applications across both internal and external IT infrastructures. Its broad capabilities and easy deployment and automated maintenance make it an optimal solution for MSPs. Its automated implementation can help accelerate time-to-value and its advanced features are specifically designed to streamline monitoring of a wide range of business applications for multiple customers' advantages that MSPs around the world are leveraging to improve service, expand offerings, and boost margins.
McCracken added that the acquisition "will broaden CA's reach into the managed service provider market, an area vital to cloud computing. Nimsoft currently has approximately 300 managed service provider partners including hosting, managed services, cloud and outsourcing partners."
"In the last couple of years, as cloud computing has become the architecture of tomorrow, Nimsoft has continued to innovate and now finds itself in an enviable position of pioneering new management platforms to deal with the new methods of delivering IT services," Gary Read, president and CEO of Nimsoft said at the press conference. "As we did this, the challenge was the market is moving so fast and changing so rapidly that we were concerned that Nimsoft could not, by itself, keep up. That is where the combination with CA makes so much sense. CA can help us scale. Our strategies and visions align."
The acquisition also will extend CA's presence in the service assurance market segment, offering one of the most comprehensive suites of IT monitoring and management solutions in the industry. These solutions provide IT organizations with complete insight into application behaviors and infrastructure health, helping them to ensure the reliability of critical business services and optimally utilize available hardware capacity. The announcement follows CA's recent acquisitions of Cassatt, NetQoS and Oblicore, and the planned acquisition of 3Tera.
For more information, go here.