Transaction Overview
- Represented Jasc Software in its sale to Corel Corporation.
- Jasc Software is recognized as a global leader of digital photography and imaging software, providing the Paint Shop family of products that included Paint Shop Pro, Paint Shop Pro Studio and Paint Shop Photo Album.
- These Windows-based products appeal to consumers and business professionals at all skill levels, offering a growth path from novice to seasoned professional.
- Corel Corporation provides innovative graphics, office and personal productivity software including the CorelDRA W® Graphics Suite, the WordPerfect® Office Suite and the Corel Painter Natural-Media® painting and illustration software. The Paint Shop family represents a strong entry level product line that over the long term could produce millions of new customers for Corel including those who regularly purchase digital photography software- a fast growing software market segment. Corel was acquired by San Francisco-based Vector Capital Group in August 2003. Corel is headquartered in Ottawa, Canada.
Key Observations
- Great Brands and Technology: The Paint Shop family is a globally recognized brand having won dozens of awards for their innovative, easy-to-use products.
- Larger Critical Mass: Jasc had competed well against Adobe and Microsoft for years but believed larger critical mass was needed to grow.
- Synergies and Leverage: The companies expect to streamline operations while leveraging each other’s distribution strength across the 75 countries in which they sell.
- Needed Add-on Company: Corel’s owner, Vector Capital was looking for a profitable add-on company to significantly add to Corel’s financial performance.