Stellent Acquires DAM Solutions Provider Ancept, Inc.

Aug 26, 2003

Stellent, Inc., a provider of content management solutions, has acquired select assets of privately held Ancept, Inc., a provider of digital asset management solutions. Ancept customers include Gap, Inc., United Parcel Service, American Greetings, Sesame Workshop, Technicolor, IBM, and Ogilvy and Mather. Stellent acquired select assets of Ancept for $2.0 million in cash, 100,000 shares of Stellent common stock, and a potential cash earn-out over a two-year period based upon revenue performance. The transaction will have no material effect on Stellent's earnings for the Sept. 30, 2003 quarter and is expected to be accretive for Stellent's fiscal year 2004.

The move is expected to enhance the existing digital asset management component of Stellent's Universal Content Management architecture, which also includes document management, collaboration, Web content management, and records management functionalities. Ancept's digital asset management application, Ancept Media Server, is an architectural fit with the Stellent technology and, upon integration, will be able to use the Stellent repository. In addition, Ancept is a Strategic Alliance Partner of IBM's. Stellent will continue this partnership and continue to market Ancept Media Server in conjunction with IBM. Stellent will also maintain partnerships with organizations offering products and services that complement Ancept's technology.

Ancept Media Server, in combination with the Stellent' Content Server, is intended to enable Stellent customers to connect video content editing, management, and reuse processes while allowing them to manage their digital assets in the same repository structure as the rest of their enterprise content. The initial product integration is scheduled for release in the fourth quarter of Stellent's fiscal year 2004.

As part of the acquisition, Stellent hired 18 Ancept employees, primarily in the product development and consulting services areas. Jeff Stromberg, Ancept's founder and president, has joined Stellent as vice president of business development. Prior to co-founding Ancept, Stromberg was vice president and co-founder of GeneSys.