REDMOND, Wash., and FARGO, ND, Dec. 21, 2000 — In a move designed to provide small and medium companies with the technology necessary to thrive in an increasingly interconnected economy, Microsoft Corp. today announced it has reached an agreement in principal to acquire Great Plains Software, Inc., based in Fargo, N.D.
Drawing on Microsoft’s global scale and .NET platform technology and Great Plains’ expertise in business management applications for small and medium companies, both corporations view this as an opportunity to deliver the solutions customers need today, and accelerate the adoption of next generation software and services.
Great Plains offers interconnected business management solutions that are sold and implemented by a worldwide network of 2,000 independent partner organizations.
The acquisition, subject to regulatory approval, is structured as a stock purchase and is valued at approximately $1.1 billion. Each share of Great Plains common stock will be exchanged for 1.1 shares of Microsoft common stock.
The company will continue to operate under the leadership of CEO Doug Burgum as the Great Plains Division within Microsoft’s Productivity and Business Services Group. Both Microsoft and Great Plains are committed to employee retention.
Microsoft and Great Plains have enjoyed a long and productive relationship as partners. In Great Plains’ 1998 annual report, Bill Gates remarked,
“The relationship between Microsoft and Great Plains is an example of a real partnership that demonstrates how technology companies can work together for the true benefit of our mutual customers.”
Both companies share a vision of how software and service will benefit customers in the future. Great Plains’ expertise in business applications and Microsoft’s .NET platform and global reach will bring next-generation solutions to small and medium businesses.
The acquisition of Great Plains, a leading mid-market business application software company, boosts Microsoft’s entry into the small and medium business applications market. Great Plains complements Microsoft’s bCentral small business applications services, providing a comprehensive set of integrated business management technologies that enable small and medium companies to succeed in the interconnected economy.
Microsoft will continue to provide technical and product support to partners, as well as sales and marketing support on the platform side.
Microsoft and bCentral are either registered trademarks or trademarks of Microsoft Corp. in the United States and/or other countries.
The names of actual companies and products mentioned herein may be the trademarks of their respective owners.
Great Plains is a registered trademark of Great Plains Corp. in the United States and/or other countries.
Other product and company names referenced herein may be trademarks of their respective owners.