ClearStory Systems, Inc., a provider of digital asset management (DAM) solutions, has announced a definitive agreement with Datawatch Corporation. Under the terms of an asset purchase agreement, Datawatch Corporation will acquire intellectual property and a portfolio of assets associated with ClearStory's Radiant Document Solutions including its Radiant Business Document Server Suite and Radiant MailManager.
Radiant Business Document Server is a system for high-volume document capture, archiving, and online presentment within financial services, insurance, and healthcare markets. Radiant MailManager is an email active archiving solution that provides lifecycle, compliance, and storage management for the corporate email knowledge base. The boards of directors for the respective companies have approved the definitive asset purchase agreement.
The purchase price under the asset purchase agreement is $4.3 million in cash at close, with an earn-out, calculated by multiplying the net revenues derived from the product sales by 30% for the next 18 months. The transaction is contingent upon certain customary closing conditions and regulatory approvals, and is expected to occur on April 14, 2006.