Oracle has entered into a definitive agreement to acquire cloud company NetSuite in a transaction is valued at $109.00 per share in cash, or approximately $9,3-billion.
“Oracle and NetSuite cloud applications are complementary, and will coexist in the marketplace forever,” says Mark Hurd, CEO of Oracle. “We intend to invest heavily in both products – engineering and distribution.”
“We expect this acquisition to be immediately accretive to Oracle’s earnings on a non-GAAP basis in the first full fiscal year after closing,” said Safra Catz, CEO of Oracle.
“NetSuite has been working for 18 years to develop a single system for running a business in the cloud,” says Evan Goldberg, founder, chief technology officer and chairman of NetSuite. “This combination is a winner for NetSuite’s customers, employees and partners.”
“NetSuite will benefit from Oracle’s global scale and reach to accelerate the availability of our cloud solutions in more industries and more countries,” says Zach Nelson, CEO of NetSuite. “We are excited to join Oracle and accelerate our pace of innovation.”
The transaction is expected to close in 2016.