Megapix Tells Plans to Buy Abacus Programming
Megapix, a Carson manufacturer of computer graphics products, announced plans to acquire Abacus Programming Corp., a Van Nuys software company. Megapix said it had agreed to buy all the outstanding shares of Abacus for $7 million and 500,000 shares of Megapix stock.
But the president of Abacus, David Oppenheim, sent a letter to his employees calling the press release “premature.” Oppenheim also wrote: “I personally believe that there are some big hurdles that must be overcome before a deal can occur. Even if the purchase does occur, it will not occur prior to the end of 1988 and possibly as late as July 31, 1989.”
Megapix President Frank Stelmack said the deal could take that long if the company encounters financing problems.