Parametric Technology Corp, the Waltham, Massachusetts CAD and engineering software developer, is acquiring privately-held InPart Design Inc of Saratoga, California. InPart provides web- based enterprise software and three-dimensional CAD model libraries of standard mechanical components designed to improve product development cycles and reduce component expenses for manufacturing companies. Its first product, DesignSuite, was launched in February of this year. Under the terms of the deal, roughly 2.4 million shares of Parametric common stock will be exchanged for all outstanding shares and options of InPart. Based on Parametric’s closing price on Wednesday, the deal is valued at $26.4m. There is also a provision that would allow for the possibility of additional shares being issued in September of next year based on certain performance goals. Parametric says as a result of the purchase it will record a one-time, non-cash charge during the first quarter of fiscal 1999 related to the write-off of in-process research and development. The acquisition should be completed in early October.
