Oracle Scores First Big Cloud Acquisition of 2012
February 11, 2012
While many companies talk a good game about cloud computing, few are willing to put money on it. Software and service giant Oracle, meanwhile, has proven time and again that it is not only on board with cloud computing but ready to spend–even above market value–to acquire strategic investments. With the recent acquisition of Taleo, a provider of talent management software, Oracle earns the prize of the first big cloud acquisition of 2012. Though the buyout isn’t something midsize and enterprise business IT will feel right away, it speaks to a growing trend in the cloud–one of consolidation, rather than diversification…
The New Deal
According to a recent article at InvestorPlace, the purchase price for Taleo was $1.9 billion. Oracle offered $46 per share for the company, which comes out to a 17-percent premium on each one. This is no surprise given the amount of interest in Taleo over recent weeks–several other buyers were reportedly interested in acquiring the firm, pushing Taleo’s stock up to $42.24 in December 2011…