Adobe to Buy Macromedia

Adobe is to buy Macromedia in a stock transaction valued at US$3.4 billion that will see the formation of a content-creation behemoth. The deal, announced early on Monday morning in the US, is expected to close in the fourth quarter of 2005, subject to shareholder approval. Bruce Chizen will continue as Adobe’s chief executive and Shantanu Narayen will remain president and chief operating officer. Macromedia chief executive Stephen Elop will join Adobe as president of worldwide field operations

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