Sunnyvale-based Blue Pumpkin was founded by Israelis and has offices in Petach Tikva.
Witness Systems (NASDAQ: WITS), a provider of performance optimization software and services, announced at the end of last week that it will acquire enterprise workforce management solutions provider Blue Pumpkin Software Inc. for $75 million.
Approximately $40 million of the purchase price is being paid in cash and the remainder in Witness Systems stock. The total cash consideration for the acquisition will be financed from Witness Systems' existing cash resources. The maximum number of additional Witness Systems shares to be issued to the Blue Pumpkin shareholders is 2.4 million; the minimum number is 2.1 million.
Blue Pumpkin has developed a strong reputation in the small- to medium-sized business (SMB) segment of the market, which is expected to be the fastest growing segment over the next five years. Blue Pumpkin has relationships in place with Avaya, Cisco, Nortel and Siemens. During 2004, Blue Pumpkin was ranked first by leading research and analysis firm Frost & Sullivan in worldwide share of the workforce management market as measured by license revenues.
Sunnyvale-based Blue Pumpkin's chairman and CEO is Doron Aspitz, who co-founded the company with Dr. Ofer Matan and Dr. Illah Nourbakhsh. The company also has offices in Petach Tikva.
Published by Globes [online], Israel business news - www.globes.co.il - on Tuesday, December 21, 2004