by John Burke, Principal Research Analyst
May 5, 2006

Privately held AttachmateWRQ is acquiring NetIQ (NASDAQ: NTIQ) via a stock buyout (at $12.20/share) for about $495M, confirming enterprise IT’s burgeoning need for help with compliance, and the shift to a service-delivery model for enterprises.

AttachmateWRQ is a global provider of products focused on integration of legacy systems into more modern IT architectures. With the acquisition of a struggling NetIQ—whose costs are up but revenues flat in services and down in sales—AttachmateWRQ is moving into hot areas of technology where it lacks presence: data-center management and compliance.

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