Sybase, Inc. (Nasdaq: SYBS) announced that it projects revenues to grow approximately 20 percent in fiscal year 2001 to roughly $1.15 billion, assuming it concludes its acquisition of New Era of Networks, Inc. (Nasdaq: NEON). The recently announced acquisition is expected to close in the second quarter of this year, subject to governmental and NEON shareholder approval.
Sybase said it anticipates an operating margin of 14 percent in 2001 and expects full-year 2001 fully diluted earnings per share of approximately $1.20 to $1.25, after issuance of roughly 15.2 million additional shares in connection with the acquisition. The company said it expects the NEON transaction to become accretive to earnings sometime in the fourth quarter of 2001, and will be fully accretive for each full quarter thereafter. Revenues and earnings per share are forecast to accelerate 15 percent to 17 percent in 2002 with the integration of NEON into Sybase's current operations.
Sybase expects that its plan to acquire NEON will significantly advance the company's strategy to provide the most advanced, complete, integrated e-Business solutions for doing business on the Web. Under the terms of the acquisition agreement signed February 20, 2001, each share of NEON common stock will be converted into 0.3878 shares of Sybase common stock.
About Sybase, Inc.:
Sybase provides enterprise-class software solutions that fuel e-Business and enable access to information. For more information, visit www.sybase.com.
About NEON:
NEON enables e-Business with a suite of products designed to overcome the inherent "language barriers" of a company's various applications, systems, platforms and protocols. For more information, visit www.neonsoft.com.