Compuware Acquires Privately-Held Gomez for $295 Million

Compuware Corporation, a company that has a global presence in the application performance management software segment, reportedly announced that it finalized a deal to acquire the privately-held Gomez, a participant in the Web application experience management market for $295 million.

The deal is expected to be close in November, company officials said.

According to Bob Paul, Compuware’s (News - Alert) president and CEO, Compuware and Gomez supply the industry’s sole unified application performance management solution, which have utility across both enterprise and internet.

“For business and IT executives who are moving more business-critical applications onto the Internet, Compuware can now offer unified visibility, isolation and resolution of application performance problems from the data center to the customer, Paul said in a statement. Competitive offerings only cover isolated portions of the Enterprise-Internet application delivery chain."

The Lexington, Mass.-based Gomez currently includes 272 employees in its global workforce. More importantly all of these employees, including its management team, will likely continue to work with Compuware once the acquisition deal is finalized.

Jaime Ellertson, CEO and president at Gomez, said this agreement as a significant step forward in the manner by which IT and enterprise leaders can monitor their performance of all the critical applications that are integral to their businesses. Compuware said the offerings of both companies are complementary and that Gomez has already a robust level of product integration. This can work positively to provide a significantly enhanced value proposition to their common customers.

“Compuware's financial strength, its R&D horsepower, and its geographic reach will benefit both our employees and our customers," Richard Brekka, chairman of the board at Gomez, said in a statement.

 Because Gomez and Compuware offer solutions through the ‘Software as a Service’ model, the addition of Gomez resources to Compuware’s services will further strengthen the SaaS (News - Alert) revenues of Compuware. Compuware will become among the world’s foremost SaaS infrastructure management solutions provider. SaaS is, even today, the preferred route to purchase software because enterprises are benefitted from an overall lower total cost of ownership and simpler and quicker adoption and maintenance.