The price for CodeGear, the business unit of Borland that offers software development tools, is $23 million.
A supplier of database performance and management tools, Embarcadero Technologies, has purchased the CodeGear unit of Borland Software for $23 million, or double its annual revenue.
CodeGear is the business unit of Borland that continues to supply such software development tools as the Delphi development environment for Windows, JBuilder for Java applications, and C++ Builder for C++ object-oriented applications.
It started out as the brainchild of Phillippe Kahn as the PC revolution heated up. Borland became known for TurboPascal, one of the early languages for PC enthusiasts. In recent years, it's added Web languages such as Third Rail for Ruby On Rails and a visual development environment for PHP.
In January, a million-seat order for Russian school systems arrived at CodeGear. Delphi and Pascal are still widely used throughout Russia and the central government wanted to purchase software for upgrading the country's computer skills.
"The application and database development worlds are colliding. ... The synergies between these two companies make this union timely and logical," said Orlando Bravo, managing partner of Thoma Cressey Bravo, in a statement announcing the acquisition. Thoma Cressey Bravo is a holding company that owns Embarcadero Technologies.
The deal is expected to close June 30. Wayne Williams, CEO of Embarcadero, is expected to be the CEO of the combined business, according to TCB's statement.
Jim Douglas, CEO of CodeGear, said in the same statement: "Today's announcement is great news for our CodeGear customers, employees, and partners. This will give us the resources to be even more aggressive and focused on our core products and markets."
Borland will retain $7 million in CodeGear accounts receivable. Embarcadero expects to become a $100 million a year company with the addition of CodeGear revenue. Embarcadero is extending its database tools into the design, develop, and management areas and CodeGear brings experience at integrating tools used in different phases of the software development life cycle.