Parascript Acquired By Authentidate

Workflow management software publisher Authentidate Holding Corp. has agreed to acquire Boulder, Colo.-based Parascript LLC, a developer of image analysis and pattern recognition software, Authentidate announced Wednesday. The Berkeley Heights, N.J.-based business said both companies have signed a definitive merger agreement that specifies Authentidate will buy Parascript for up to $10 million in cash; 30 million shares of Authentidate common stock; all shares of Authentidate's German subsidiary, Authentidate International AG; and a five-year, 10-percent note in the principal amount of $20 million, which is subject to adjustment. Authentidate added that additional consideration in the form of more Authentidate common stock would be paid in 2012 if certain financial performance goals for a newly formed business unit were met. Authentidate noted that the transaction has already received the unanimous approval of both companies' boards and should close in Q4 2008.