5. What parts of Bitstream did Monotype Imaging not acquire?
Monotype Imaging did not acquire Bitstream’s BOLT™ mobile browsing and Pageflex® variable data publishing technologies. As part of the agreement to acquire Bitstream’s font business, these other businesses were spun out to form a new public company, Marlborough Software Development Holdings.
What were the financial terms of the transaction?
Monotype Imaging acquired Bitstream’s font business in an all cash merger valued at approximately $50 million, which included adjustments based on the closing net asset value of Bitstream. To fund the acquisition, Monotype Imaging drew $25 million on the company’s revolving line of credit.
How many Bitstream employees are joining Monotype Imaging?
Thirteen employees have joined Monotype Imaging from Bitstream’s U.S. operation, in addition to 42 engineers and type designers in Noida, India.
How are customers expected to benefit from the acquisition?
Monotype Imaging believes the acquisition will enhance the company’s e-commerce and Web font businesses through a greater selection of fonts and technology solutions. For example, Monotype Imaging intends to support, promote and grow the MyFonts brand and website, which is the resource of choice for a strong community of loyal customers. Monotype Imaging anticipates that OEMs will also have access to a greater portfolio of solutions, particularly in the company’s Display Imaging business. In addition, resources in India will not only contribute to development and R&D functions but also custom type design, particularly for Indic markets.
How is Monotype Imaging integrating Bitstream’s font business?
Now that the acquisition has closed, Monotype Imaging is beginning to integrate and work with Bitstream’s products, services and personnel. Talent from Bitstream is expected to positively impact Monotype Imaging’s e-commerce and type design and development teams, as well as Display Imaging sales. The company’s development and quality engineering resources have expanded substantially, with the addition of 42 employees in India, who will continue to work from the development facility in Noida.