Bitstream to Acquire Assets of Press-sense
MARLBOROUGH, MA/OR AKIVA, ISRAEL—May 17, 2010—Responding to customer desires for more automated business processes, Bitstream Inc. (NASDAQ: BITS, Bitstream) announced today that it has agreed to acquire substantially all of the assets of Press-sense Ltd. for $6.5 million in cash and the assumption of liabilities related to deferred revenue. Based in Israel, Press-sense is a leading developer of business flow automation systems.
The Press-sense business will complement and expand Bitstream’s Pageflex product line of enterprise brand management and Web-to-print solutions to create one of the most robust end-to-end offerings of business management tools available in the marketing and print industries. By fully automating the creation, production, and back-office processes for document orders, Bitstream will provide the tools to enable its customers to maximize production efficiency, monitor and reduce costs, and increase profits.
A privately-held company founded in 2001 and funded over the years by several venture capital firms, Press-sense has become a dominant solution provider at the intersection of Web-to-print and MIS. The company’s flagship Press-sense iWay print-on-demand workflow and management solution has been adopted as the sole OEM web-to-print solution by major digital print manufacturers, including Xerox Corporation, Hewlett-Packard, and Océ, resulting in an installed base of more than 1,500 customers in North America, Europe, and Asia Pacific. There is very little overlap between the customer base of Bitstream and Press-sense, so there is great opportunity for up-selling and cross-selling products throughout the combined customer bases.
“In the past few years we have seen a dramatic increase in the demand for automated processes in the document production space. Increased commoditization and competition in the printing industry, as well as increasing pressure on corporate marketers to demonstrate positive returns on investment for all expenditures, are driving the desire to reduce or eliminate human touches from the production of documents and to generate sufficient and accurate data to measure the costs and benefits of each step of the process,” explains Anna Magliocco-Chagnon, Bitstream President and CEO. “Our Pageflex product line leads the industry in tackling the front-end of the process: order taking and document production. Press-sense provides the most extensive business management tools for the back-end of the process enabling companies to monitor and reduce their operating costs. Through this asset acquisition, Bitstream becomes the only entity able to offer the full complement of solutions required by document producers.”