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SGI Sells Alias Subsidiary to Accel-KKR
dmehus writes "SGI on Thursday announced it has agreed to sell its Alias subsidiary for $57.5 million in cash to Accel-KKR. Interestingly enough, Accel-KKR owns GroceryWorks, which powers and provides the online version of Safeway. After transaction costs and other items, SGI said it expects net proceeds from the sale come in line at $50 million. Slashdot covered this story in February, saying that SGI was rumoured to be in talks with an unnamed private equity firm, but now it is confirmed."
Blah, blah blah.
Accel-KKR also owns globalCoal and Savista just another shark trying to get a corner on the market so they can control it. I am interested where globalCoal fits into the big picture though...
Look, see, understand
The Oakland tribute reports that a Billionaire increases Safeway stake. Accel-KKR owns GroceryWorks which is Safeway, Inc. exclusive online shopping provider.
Not only that, but KKR (not Accel-KKR) used to own Safeway. This was a few years back. They purchased it cheap, held on to it for a while, and made an absolute killing when they sold it. KKR are no fools (RJR notwithstanding).
I had almost expected Apple to buy the rights to Alias. The Mac OS X version rocks, and they've got billions in the bank, $50m would have been pocket change. It could have complemented Shake and Logic, bring 3D into their professional tools. And then we could have looked forward to iModel, or whatever, as the low end consumer version.
Ah well, wasn't to be.
SGI paid $500 million to buy them in the first place. Boy, how times have changed.
NEW YORK, Feb. 7 / -- Silicon Graphics, Inc. (NYSE: SGI), Alias Research, Inc.
(Nasdaq-NNM:ADDDF), and Wavefront Technologies, Inc. (Nasdaq: WAVE) today
announced that they have entered into definitivemerger agreements. The
combined organizations bolster Silicon Graphics' commitment to the
entertainment andcreative design markets, and allow the company to architect
the foundation necessary for software partners andcustomers to build the
digital studio of the 21st Century.
As a result of the mergers, Silicon Graphics will form a wholly owned,
independent software subsidiary that will focus on developing the world's most
advanced tools for the creation of digital content. Rob Burgess,
currentlypresident and CEO of Alias, will become president of the new company,
and Mike Noling, currently president andCEO of Wavefront, will report to
Burgess as vice president of operations. Martin Plaehn, currently
Wavefront'sexecutive vice president of corporate and product development, will
also report to Burgess to lead the technical team.
Under terms of the agreements, which were approved by the boards of directors
of the respective companies, Alias stockholders will receive the equivalent of
0.90 shares of Silicon Graphics' common stock for each share of Aliascommon
stock owned. Wavefront stockholders will receive 0.49 shares of Silicon
Graphics' common stock for eachshare of Wavefront common stock owned. The
closing prices for Silicon Graphics, Alias and Wavefront commonstock on Fr
iday, February 3, 1995, the last trading day prior to the board meetings to
approve the transaction, were$31.25, $20.875 and $12.625, respectively. The
shares to be issued by Silicon Graphics have a current market valueof
approximately $500 million.
Can a fully-3D online Safeway store with advanced texture mapping, particle physics and inverse-kinematics be far off?
"I forgot my mantra."