Initial public offerings continue to be a viable exit strategy for software companies. The latest to announce plans is mobile communications software provider CDC Corp., which said Monday it will take its enterprise software unit public. The Chinese gaming and software technology company will register for an initial public offering worth as much as $225 million in Class A common shares. The move will help CDC Software "more clearly differentiate its line of business" from that of the parent, the company said in a statement, and will "provide a more targeted investment vehicle for investors." The IPO is set for the fourth quarter this year.
It's been a busy year for CDC. On April 17, CDC said it would buy Saratoga Systems Inc., a privately held maker of customer relationship management software based in Campbell, Calif. Terms of the deal were not disclosed. CDC's software business has largely grown through acquisitions, with the company in December announcing its purchase of tech support and managed services provider Vis.align Inc. for undisclosed terms. In October, the company also paid an undisclosed amount for MVI Technology Ltd., a U.K. supplier of manufacturing processing software. —Cheryl Meyer
See Aug. 20 story from Yahoo.com
See April 17 story from TheDeal.com
Tags: IPO, vc, venture+capital
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