March 22, 2006
The Art of Adobe’s Deal
Source: TheStreet.com
Written by Troy Wolverton
Adobe System’s (ADBE:Nasdaq – news – research – Cramer’s Take) acquisition of Macromedia made a lot of sense in the abstract.
Investors will get their first glimpse of how well the deal is working Wednesday afternoon, when Adobe reports its first-quarter results.
It’s not that Wall Street seems terribly nervous that things have gone sour in the little more than three months since the acquisition, but that investors want an update on how the two software makers are meshing.
“This clearly brings their business to a much greater scale,” says Darren Chervitz, research director at Jacob Asset Management, which is long Adobe. “It will be interesting to see how that is playing out.”