- Acquisition of Leading Analytics Company Gives Cognos Broad Solution
Coverage for Financial Performance Management -
OTTAWA & BURLINGTON, MASS., October 25 /CNW/ - Cognos (NASDAQ: COGN; TSX:
CSN), the world leader in business intelligence and performance management
solutions, today announced it has completed the acquisition of Applix, Inc.
(NASDAQ: APLX), a publicly held company based in Westborough, Massachusetts
and an industry leader in analytics.
The merger occurred today October 25, 2007. All remaining outstanding
Applix shares have been converted into the right to receive $17.87 per share
in cash. Applix is now an indirect, wholly-owned subsidiary of Cognos.
"The Cognos/Applix combination is a great fit strategically and
culturally. Our position as the world's leading independent provider of
performance management solutions is now stronger than ever," said Rob Ashe,
Cognos CEO. "We've brought together an industry leader in performance
analytics with the experts in performance management. We've extended our
leadership position in financial performance management (FPM). We've created
the broadest performance management solution offering in our market. And we
have advanced our place as the number one innovator in performance management
with the addition of a world-class, patented 64-bit, in-memory,
"At the same time, we've brought together two teams that share the same
passion for innovation and commitment to customer success. We've added another
200 performance management experts to an already very strong Cognos team -
further solidifying our position as the experts in performance management,"
"IDC estimates the worldwide market for packaged applications for
Financial Performance and Strategy Management at almost $2 Billion for
calendar 2007. A key emerging segment of this market is the area of
profitability management applications, which is evolving from a "build" to a
packaged applications market as organizations request vendors to deliver out
of the box profitability management functionality. Packaged profitability
applications currently represent about 20% of the FPSM market, and IDC
estimates that the market is much larger when considering solutions that
organizations build with BI tools. Cognos is well positioned to take advantage
of this opportunity with the addition of Applix," said Kathleen Wilhide,
research director of BMP and GRC solutions at IDC.
The acquisition of Applix builds on the proven strength of Cognos 8
Planning, Cognos 8 Controller, and Cognos 8 Business Intelligence. Applix
extends the Cognos solution to address financial performance analysis and
optimization, including new solution areas such as profitability, sales mix,
and price/volume variance analysis. Customers get a strong, self-service
solution to develop and deploy financial analytics across their organization.
"The combined entity of Cognos and Applix will be a force to be reckoned
with, especially in the mid-market. Cognos' consolidation and planning
applications combined with Applix' financial analytics makes for an
industry-leading financial performance management solution," said Craig
Schiff, president and CEO of BPM Partners.
Applix is recognized as a leader in the financial analytics market for
its innovative financial OLAP server. The company's patented, 64-bit,
in-memory multidimensional server has a proven track record in financial
performance management. Applix has also been recognized by numerous industry
and analyst groups for being a technical and strategic leader in the
marketplace, including being positioned in the Visionaries Quadrant of
Gartner's CPM Magic Quadrant.
The company and its global network of partners help more than 3,000
customers worldwide manage their business analytics needs. Customers range
across a broad variety of industries including insurance, financial services,
banking, healthcare, pharmaceutical, telecommunications, manufacturing,
consumer goods and retail.
Cognos, the world leader in business intelligence and performance
management solutions, provides world-class enterprise planning and BI software
and services to help companies plan, understand and manage financial and
operational performance. Cognos brings together technology, analytical
applications, best practices, and a broad network of partners to give
customers a complete performance system. The Cognos performance system is an
open and adaptive solution that leverages an organization's ERP, packaged
applications, and database investments. It gives customers the ability to
answer the questions - How are we doing? Why are we on or off track? What
should we do about it? - and enables them to understand and monitor current
performance while planning future business strategies.
Cognos serves more than 23,000 customers in more than 135 countries, and
its top 100 enterprise customers consistently outperform market indexes.
Cognos performance management solutions and services are also available from
more than 3,000 worldwide partners and resellers. For more information, visit
the Cognos Web site at http://www.cognos.com.
Cognos and the Cognos logo are trademarks or registered trademarks of
Cognos Incorporated in the United States and/or other countries. All other
names are trademarks or registered trademarks of their respective companies.
Note to Editors: Copies of previous Cognos press releases and Corporate and
product information are available on the Cognos Web site at www.cognos.com.
Cautionary Statement Regarding Forward-Looking Statements
Certain statements in this press release regarding the transaction
between Cognos and Applix and any other statements regarding Cognos' future
expectations, beliefs, goals or prospects constitute forward-looking
statements made within the meaning of the Securities Exchange Act of 1934 and
the Ontario Securities Act. Any statements that are not statements of
historical fact (including statements containing the words "believes,"
"plans," "anticipates," "expects," "estimates" and similar expressions) should
also be considered forward-looking statements. A number of important factors
could cause actual results or events to differ materially from those indicated
by such forward-looking statements, including Cognos' ability to successfully
integrate the two companies and their products, customer acceptance of the
companies' combined products, Cognos' ability to retain key employees, Cognos'
ability to achieve expected synergies between the combined companies, and
other risk factors set forth in Cognos' Annual Report on Form 10-K and
Quarterly Reports on Form 10-Q, each as filed with the Securities and Exchange
Commission. Readers should not place undue reliance on any such
forward-looking statements, which speak only as of the date they are made.
Cognos disclaims any obligation to publicly update or revise any such
statement to reflect any change in our expectations or in events, conditions,
or circumstances on which any such statements may be based, or that may affect
the likelihood that actual results will differ from those contained in the
For further information:
For further information: Media Contacts: Cognos Steve Milmore,
781-313-2403 email@example.com or Lois Paul & Partners, LLC Jessica
Sutera, 781-782-5789 firstname.lastname@example.org or Investor Relations: Cognos John
Lawlor, 613-738-3503 email@example.com