Divine Completes Data Return Acquisition


Divine Wednesday said its stockholders approved the acquisition of hosting provider Data Return, completing the deal first announced in November.

The Chicago-based company named Sunny Vanderbeck, former chairman and CEO of Houston-based Data Return, president of Divine Managed Services, a business unit which includes hosting assets acquired from Intira and marchFirst's HostOne last year.

Jim Dennedy, who served as president of the business unit, was named its COO.

Vanderbeck, in a statement, said Divine Managed Services has a revenue run rate of $100 million in 2002, according to a statement.

Formerly a technology holding company, Divine transformed itself through acquisitions into a service provider and software vendor, offering professional and managed services, as well as collaboration and content management applications.

Under the terms of the deal, Data Return shareholders can convert each share into 1.9876 shares of Divine.

Shares of divine traded down 3 cents at 85 cents Thursday afternoon.

Shares of Data Return, which specializes in hosting Microsoft solutions, ceased trading on the Nasdaq Wednesday, closing down 4 cents at $1.72.