DataMirror has announced it has entered into an agreement to acquire PointBase Inc. for $3.5 million.

Nigel Stokes, CEO of the Markham, Ont.-based provider of data integration and protection solutions, said DataMirror has long been familiar with PointBase – a nano footprint, Java-based relational database and synchronization solutions provider headquartered in Santa Clara, Calif. – as the company had invested in it some time ago.

“We’re well acquainted with the company and its technology and they’ve made good progress,” Stokes said. “So when the opportunity presented itself, we decided to acquire the remaining 81 per cent of the company.”

The transaction, which is conditional upon certain closing conditions, is expected to close in the next 30 days. PointBase is headed by Oracle co-founder Bruce Scott, who would remain in a transitional role as the company’s president and CEO, Stokes said. PointBase’s trio of offerings – PointBase Embedded, PointBase Micro and PointBase UniSync – provide effective Java-based data storage, enterprise mobility and data synchronization with corporate databases. The company’s technology is currently being used by software providers including BEA, Checkmate International, Extensity, Leadscope, Macromedia, Raytheon and Sun Microsystems.

Stokes told eChannelLine DataMirror would not go about re-branding PointBase’s products or company moniker. He said the company has a proven track-record of providing solid technologies and sound customer service. Would he consider relocating PointBase from sunny California north of the 49th parallel?

“Being a Canadian, I guess there’s a natural bias there,” he laughed. “I couldn’t see moving the core developer from the Valley. Perhaps some components of the business will be brought here. For the most part, we’re intent on leveraging our Canadian marketing and sales teams, channel partners, to expand their business.”

PointBase has 10 to 15 core channel partners, he said, and DataMirror would introduce the two channel communities to working together to achieve greater success.

“Their channel partners are focused on the Java technology, and that makes it a natural, complimentary addition to our Unix, HP and Sun channel partners,” he said.

Beyond enhancing service for the PointBase’s existing customers, Stokes said DataMirror would focus on expanding the PointBase technology to wireless data capture solutions for bar-code and RFID applications and also on new data synchronization solutions for the handheld marketplace.

“Their technology really lends itself well to very small footprints,” Stokes explained. “It works well on Palm devices or any Java-based device today. We see applications for those handhelds in the wireless data integration arena . . . storing data on that device, synchronizing it with core business applications, it has real strategic value.”

The transaction has been approved by the board of directors of both companies, officials said. Subject to satisfaction of a number of closing conditions, the transaction is expected to close in December 2003.