Posted by
Brent Holliday
on
Friday, February 04, 2005 12:00 AM
From February 2005 - Creo – Latin word meaning “to create, make”: One of BC’s biggest success story and the first local technology company to reach CDN$1B in annual sales (in 2001) has been sold to Kodak after 22 years in business. Almost US$1B in cash for Creo shareholders is a nice price given recent tribulations at the Burnaby and Annacis Island company. In announcing its US$174M quarter today, Creo showed good revenue growth from last year to support the price paid. But profit is still pretty small, hence the < 2x revenue sale price. For comparison, Crystal Decisions was bought for nearly 10x revenue by Business Objects 20 months ago. Creo did create something big for our local industry. Now what will happen to it and how will it affect the rest of us?