Magic Software to Acquire BluePhoenix's AppBuilder Activity for $17M

Magic Software Enterprises Ltd. (NASDAQ: MGIC) and BluePhoenix Solutions (NASDAQ: BPHX) announced today that they have entered into a definitive agreement under which Magic Software will acquire BluePhoenix's AppBuilder activity for $17 million. The acquisition is expected to be finalized by mid-December 2011, subject to the fulfillment of certain conditions defined in the acquisition agreement.

AppBuilder is a comprehensive application development infrastructure used by many Fortune 1000 enterprises around the world. This premier enterprise application development environment is a powerful, model-driven tool that enables development teams to build, deploy, and maintain large-scale, custom-built business applications.