Great Plains intends to expand its midmarket e-business by acquiring Solomon Software, a provider of flexible business management and e-business solutions. The combined company, Great Plains, will have more than 130,000 customers, 2,200 team members and a worldwide network of 2,000 channel partners.
Great Plains intends to acquire Solomon Software by issuing approximately 2,600,000 shares of Great Plains common stock and $35 million in cash. The parties have entered into a definitive merger agreement; the transaction is expected to close in June, the first month of Great Plains’ fiscal year, and would be accounted for as a purchase accounting transaction.
“For nearly 20 years, Great Plains and Solomon have pursued the same vision: to deliver superior customer value through a premier partner channel,” said Doug Burgum, CEO of Great Plains. “This synergistic combination of people, products and technologies creates unparalleled business opportunities for our partners and increases our ability to help transform midmarket businesses into e-businesses.”
“Commitment to the Dynamics, Solomon and eEnterprise product lines, and the expertise of the organizations behind those products will give us much broader functionality,” said Gary Harpst, co-founder of Solomon Software. “With these products, our partners will be able to help midmarket businesses gain an advantage in the new economy.” Harpst will continue at Great Plains in a key product strategy role.
Solomon Software will operate as the Solomon business unit of Great Plains. Michael Rupe, current CEO of Solomon Software, will serve as president of the Solomon business unit. The existing Great Plains business units and the new Solomon business unit will share best practices and collaborate on next-generation research and development.
Solomon Software provides business management and e-business software for offers small and mid-sized organizations. The award-winning Solomon IV product family includes e-business applications for financials, project accounting, distribution, service management and manufacturing.
Founded in 1980, Solomon has 20,000 customers served by more than 500 channel partners and 380 associates. Solomon’s products and services are sold and implemented by a network of independent sales and support organizations.
Great Plains offers e-business solutions that interconnect business communities. These automate processes among financial, distribution, enterprise reporting, project accounting, electronic commerce, human resource management, manufacturing, sales and marketing management, and customer service and support functions.
Named four times in the ‘Top 100 companies to work for in America’ list, Great Plains has more than 1,800 team members worldwide.