The Deal's off: Corel/Inprise

Despite their separation, the companies remain on good terms and expect to continue partnership opportunities, Corel representatives say. Corel is not charging termination fees, and a plan to realign its cost structure will save the company $US40 million.

Michael Cowpland, president and chief executive of Corel, said he was disappointed that the merger termination would not alter the company's "strategic focus," especially on Linux-related products.

The merger had recently looked to be on shaky ground. Inprise/Borland had requested a review of the transaction terms. Under the original agreement, holders of Inprise/Borland stock would have received 74.7 per cent of a Corel common share for each share of common stock in Inprise/Borland. Corel shares, however, have lost much of their value since the agreement, when they were trading in the $US19 to $20 price range. On Tuesday, Corel shares rose 40 US cents to $US5.81 in midday trading.

A variety of factors weighed on the decision to terminate the merger, Corel executives say.

"There were many factors," Cowpland says. "We're not trying to pinpoint any one factor."

The executives also addressed the company's cash position in wake of a filing last month with the US Securities and Exchange Commission. In it, Corel announced it could run out of cash in 90 days if its merger with Inprise didn't go through.

Executives say that the company has had "many offers" for financing the company and that Corel is in the process of evaluating those offers.

"We have the opportunity to make many other additional partnerships, and we will announce them in the next months," Cowpland said.

Join the newsletter!

Error: Please check your email address.
Rocket to Success - Your 10 Tips for Smarter ERP System Selection
Keep up with the latest tech news, reviews and previews by subscribing to the Good Gear Guide newsletter.

Sarah Deveaux

PC World
Show Comments

Most Popular Reviews

Latest Articles

Resources

PCW Evaluation Team

Ben Ramsden

Sharp PN-40TC1 Huddle Board

Brainstorming, innovation, problem solving, and negotiation have all become much more productive and valuable if people can easily collaborate in real time with minimal friction.

Sarah Ieroianni

Brother QL-820NWB Professional Label Printer

The print quality also does not disappoint, it’s clear, bold, doesn’t smudge and the text is perfectly sized.

Ratchada Dunn

Sharp PN-40TC1 Huddle Board

The Huddle Board’s built in program; Sharp Touch Viewing software allows us to easily manipulate and edit our documents (jpegs and PDFs) all at the same time on the dashboard.

George Khoury

Sharp PN-40TC1 Huddle Board

The biggest perks for me would be that it comes with easy to use and comprehensive programs that make the collaboration process a whole lot more intuitive and organic

David Coyle

Brother PocketJet PJ-773 A4 Portable Thermal Printer

I rate the printer as a 5 out of 5 stars as it has been able to fit seamlessly into my busy and mobile lifestyle.

Kurt Hegetschweiler

Brother PocketJet PJ-773 A4 Portable Thermal Printer

It’s perfect for mobile workers. Just take it out — it’s small enough to sit anywhere — turn it on, load a sheet of paper, and start printing.

Featured Content

Product Launch Showcase

Latest Jobs

Don’t have an account? Sign up here

Don't have an account? Sign up now

Forgot password?