Exit watch, week of Feb. 8, 2010

IBM buys Initiate


has agreed to acquire Initiate Systems Inc., a Chicago-based provider of master data management solutions for the exchange of health information. No financial terms were disclosed. Initiate Systems has raised more than $67 million in VC funding from Apex Venture Partners, First Analysis Group, Sigma Partners, BlueCross BlueShield Venture Partners and Paladin Capital Group. The company canceled a proposed IPO in 2008.

Informatica buys Siperian for $130M

Informatica Corp. (Nasdaq: INFA) has acquired Siperian Inc., a San Mateo, Calif.-based maker of master data management software, for $130 million in cash. Siperian had raised about $61.5 million in VC funding from Constellation Ventures, Investor Growth Capital, Red Rock Ventures, ArrowPath Venture Capital, Blumberg Capital Ventures, Brightspark Ventures, Saffron Hill Ventures, Reed Elsevier Ventures and Anthem Venture Partners.

Synopsys scoops up VaST Systems

Synopsys Inc. (Nasdaq: SNPS) has acquired VaST Systems Technology Corp., a Sunnyvale, Calif.-based producer of embedded systems development technology. No financial terms were disclosed. VaST has raised nearly $42 million in total VC funding since its 1997 formation from Allen Buckeridge, Foundation Capital, ZenShin Capital and Mohr Davidow Ventures.

PGP buys ChosenSecurity

PGP Corp., a Palo Alto, Calif.-based provider of enterprise data protection, has agreed to acquire Newton, Mass.-based ChosenSecurity and its German subsidiary TC TrustCenter. No financial terms were disclosed. ChosenSecurity has raised around $14.5 million from .406 Ventures, Castile Ventures, Prism VentureWorks and St. Paul Venture Capital. PGP is also venture-backed, having raised about $45 million in VC funding from D.E. Shaw Group, Intel Capital, DCM and Venrock.

Dot Hill completes Cloverleaf acquisition

Dot Hill Systems Corp. (Nasdaq: HILL) has completed its previously announced acquisition of Cloverleaf Communications Inc., a Southborough, Mass.-based developer of heterogeneous storage virtualization and unified storage technologies. The deal was valued at about $12 million, including $2.5 million in cash. Cloverleaf had raised nearly $15 million in VC funding from Genesis Partners, BancBoston Ventures and Hyperion Partners.

SAIC buys Forterra assets

SAIC (NYSE: SAI) has agreed to buy the online interactive virtual environment product line of Forterra Systems Inc. for an undisclosed amount. Forterra has raised about $65 million in VC funding from GC&H Investments, Sutter Hill Ventures, JVP, In-Q-Tel and Stanford University. Late last month, it reportedly laid off about half of its workforce in anticipation of a sale.

Medco acquires DNA Direct

Medco Health Solutions Inc. (NYSE: MHS) has acquired DNA Direct Inc., a San Francisco-based genomics utilization management company. No financial terms were disclosed. DNA Direct had raised VC funding from Firefly Investments and Lemhi Ventures.

Gambro buys CHF

Gambro, a portfolio company of private equity firm Bridgepoint, has acquired CHF Solutions Inc., a Brooklyn Park, Minn.-based maker of ultrafiltration devices to treat fluid overload. No financial terms were disclosed. CHF Solutions had raised nearly $60 million in VC funding from Ascension Venture Partners, MPM Capital and SV Life Sciences.

Mobixell acquires Internet company 724

Mobixell Networks, a San Jose, Calif.-based provider of mobile multimedia and advertising solutions, has acquired Toronto-based mobile Internet company 724 Solutions. No financial terms were disclosed. Austin Ventures took 724 Solutions private in 2006 for approximately $18.5 million. Mobixell had raised about $29 million in VC funding from Apax Partners, Comverse, Intel Capital and SMAC Partners.