NetObjects Acquires Rocktide

$3.6 million dollar deal to expand NetObjects embedded ASP Offerings Through Partners

REDWOOD CITY, CA/PRNewswire/ -- NetObjects, Inc. announced that it has signed a definitive agreement to acquire privately-held Rocktide, Inc., a provider of application service provider (ASP) technology and wireless e-Services. The acquisition furthers NetObjects' reach through large-scale distribution with partners and to offer the integrated B2B e-Services. In February, NetObjects launched the company's first ASP offering. Recently, NetObjects has announced agreements with IBM and Dell to distribute its new NetObjects Fusion e-Services Edition as part of an integrated solution with the industry's top-selling PC hardware providers.

"Our strategy is to create a frictionless solution for our partners that integrates NetObjects' embedded ASP services with the partners' existing infrastructure to deliver maximum value to their small business customers," said Samir Arora, chairman and CEO of NetObjects, Inc. "Rocktide is a great example of the next generation of ASP and wireless services technology companies that will greatly enhance NetObjects' offerings."

Rocktide's e-Services technology has been designed for rapid partner deployment, international language support, device independence, and scalability for millions of users.

Under the terms of the agreement, the Redwood City, California-based company will acquire all of Rocktide's stock for $3.6 million of NetObjects common stock and $400,000 cash. Rocktide's key employees will join NetObjects after the closing of the transaction.