FRAMINGHAM (02/29/2000) - The field of network and application performance monitoring vendors became even tighter yesterday when Mission Critical Software Inc. announced that it would acquire NetIQ Corp. in Houston for in a stock swap valued at $1.42 billion.
Santa Clara, Calif.-based Mission Critical also announced it would buy Ganymede Software Inc. in Morrisville, N.C., in a separate deal for $171 million.
One NetIQ customer said the merger with Mission Critical Software could help his company in the long run. "It was a surprise to me," said Kurt Guerrero, information technology infrastructure manager at Northern Trust Bank in Chicago. "But it's kind of exciting for me. I've got a couple of powerful tools - one I'm using and one I'm looking at - and now they'll both be owned by the same company."
The bank uses NetIQ's AppManager software to monitor Windows NT file and print servers. And it just "talked with a Mission Critical sales rep last week for a quote on their OnePoint" directory and network availability product, said Guerrero.
The three-way merger, expected to be completed in June, will create a single, as-yet-unnamed company with a market capitalization of $2.9 billion, a Net IQ spokeswoman said.
Look for Operations Manager from Mission Critical and AppManager from NetIQ to be integrated into a new combined suite, said Tom Kemp, vice president of marketing at NetIQ. The Ganymede products will be integrated later, but will continue to be available as stand-alone packages, he said.
"It's not going to be one big honking product," Kemp said, but rather a series of integrated modules.
The new company's focus will continue to be on Windows platform e-commerce, Kemp said.