Sterling Software

Infobox Defunct Company
company_name = Sterling Software
company_
fate = acquired
successor = Computer Associates International
foundation = 1981
defunct = 2000
location =
key_people = Sterling Williams, Sam Wyly, Charles Wyly, founders
industry = Software development
products = Software

Sterling Software is a no longer existing American software company founded Dallas, Texas in 1981 by Sterling Williams and brothers Sam and Charles Wyly.cite web
url=http://sec.edgar-online.com/1994/01/26/00/0000912057-94-000148/Section2.asp
title=STERLING SOFTWARE INC Amended Annual Report (10-K/A) ITEM 10. DIRECTORS AND EXECUTIVE OFFICERS OF THE REGISTRANT.
date=1995-01-26
publisher=Edgar Online
accessdate=2008-08-20] The company was acquired by Computer Associates International in 2000 in a stock-for-stock transaction worth $3.3 billion [cite press release
url=http://www.secinfo.com/darwj.5b.htm
title=SEC Info - Computer Associates International Inc - 425 - Sterling Software Inc - On 2/15/00
date=2000-02-14
publisher=U.S. Securities and Exchange Commission
accessdate=2008-08-20] [cite web
url=http://sec.edgar-online.com/2001/02/07/0000356028-01-000001/Section7.asp
title=COMPUTER ASSOCIATES INTERNATIONAL INC - CA Quarterly Report (10-Q) NOTES TO CONSOLIDATED CONDENSED FINANCIAL STATEMENTS
date=2001-02-07
publisher=Edgar Online
accessdate=2008-08-20] .Computer Associates sold Sterling Software's Federal Systems Group to Northrop Grumman in 2000. [cite press release
url=http://www.it.northropgrumman.com/who/history.html#1997
title=Northrop Grumman - Who We Are - History - Joining Northrop Grumman in 1997
publisher=Northrop Grumman
accessdate=2008-09-26]

It was known for its aggressive acquisitions, most notably the hostile take-over of Informatics General Inc in 1985. Informatics was one of the first established software and services companies. It developed the MARK-IV Fourth-generation programming language in the 1960s. MARK-IV became the first software package exceeding $1 million in revenue, after IBM was forced in 1969 to unbundle software from their hardware.

Helped by financing and counseled by Werner Frank, one of Informatics' founders who had left this company a year before, Sterling Software started the hostile take over by offering to shareholders an interesting price per share and increasing it slowly until the Informatics board was no longer able to reject it.Overnight, Sterling Software became a $200 million in revenue company up from $20 million. After only 2 years, they started again acquiring new companies. [cite magazine
url=http://www.findarticles.com/p/articles/mi_m0SMG/is_n7_v11/ai_10885688
title=Cautiously approaching client/server computing - Sterling Software Inc.'s Systems Software Group
journal=Software Magazine
month=June
year=1991
first=John
last=Desmond
accessdate=2007-08-29]

Acquired Informatics in 1985 [cite journal
url=http://csdl2.computer.org/persagen/DLAbsToc.jsp?resourcePath=/dl/mags/an/&toc=comp/mags/an/2006/03/a3toc.xml&DOI=10.1109/MAHC.2006.51
title=Informatics Acquisition by Sterling Software: Unsolicited Offer, Takeover Attempt, and Merger
first=Walter F.
last=Bauer
journal=IEEE Annals of the History of Computing
volume=28
issue=3
month=July-September
year=2006
publisher=IEEE Computer Society
pages=32-40
doi=http://doi.ieeecomputersociety.org/10.1109/MAHC.2006.51
accessdate=2008-08-20] .

Acquired Reston, VA-based Systems Center, Inc. in 1993 in a stock-for stock transaction worth $185 million, Sterling Software's 20th acquisition [cite news
url=http://query.nytimes.com/gst/fullpage.html?res=9F0CE0DA1F39F931A35757C0A965958260
title=COMPANY NEWS; Sterling Software to Buy Systems Center
date=1993-04-02
first=Andrea
last=Adelson
publisher=The New York Times
accessdate=2008-08-20] . In the process of this acquisition, Sterling Software was completely restructured along lines of business, as opposed to the previous practice of absorbing acquired companies as essentially equivalent divisions.Fact|date=August 2008

Acquired Atlanta-based KnowledgeWare in a stock-for-stock transaction worth $74 million in 1994, in the process eliminating about 250 jobs in the combined companiescite news
url=http://query.nytimes.com/gst/fullpage.html?res=9E0CE2D61E30F931A35751C1A962958260
title=Sterling Software Finished Deal For Knowledgeware
date=1994-12-02
publisher=The New York Times
accessdate=2008-08-20] . KnowlegeWare's founder Fran Tarkenton joined the Sterling Software board of directors as part of the deal.

Acquired Texas Instruments's Dallas-based software division (known as TI Software) for $165 million cash in 1997, about 66% of its previous year's revenue [cite news
url=http://query.nytimes.com/gst/fullpage.html?res=990CE5D9153EF931A15757C0A961958260
title=Sterling to Buy Texas Instruments Unit
date=1997-08-22
publisher=The New York Times
accessdate=2008-08-20] . The acquisition included the rights to Information Engineering FacilityFact|date=August 2008.

Acquired Boston-based Cayenne Software for $11.4 million in cash in 1998, Sterling Software's 30th acquisition. [cite press release
url=http://www.itweb.co.za/office/bytes/9808311348.htm
title=Sterling software announces agreement to purchase Cayenne Software
date=1998-08-31
location=Johannesburg, South Africa
accessdate=2008-08-20]

Acquired Fremont, California-based Interlink Computer Sciences in 1999 for $64 million in cash, merging Interlink into Sterling's existing Network Management Division [cite news
url=http://findarticles.com/p/articles/mi_qa3755/is_199903/ai_n8833652
title=Sterling Software to acquire Interlink computer Sciences for 2.0 times revenue
publisher=Weekly Growth Report
date=1999-03-29
accessdate=2008-08-20] .

References

External links

* [http://news.com.com/Going+in+for+the+CA+kill/2009-1082_3-269448.html Going in for the CA kill] - interview with Sam Wyly.
* [http://www.horatioalger.com/members/member_info.cfm?memberid=wyl70 Biography of Sam Wyly]