Business NEWS: Oracle acquires NetSuite for $9.3 billion

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July 28, 2016

Oracle Corp plans to acquire cloud software company NetSuite in a $9.3 billion deal, the companies said Thursday.

Oracle then-CEO Larry Ellison walks off stage after delivering his keynote address at the 2008 Oracle OpenWorld conference September 24, 2008 in San Francisco, California.

July 28, 2016

Oracle Corp plans to acquire cloud software company NetSuite in a $9.3 billion deal, the companies said Thursday.

Oracle then-CEO Larry Ellison walks off stage after delivering his keynote address at the 2008 Oracle OpenWorld conference September 24, 2008 in San Francisco, California.

Oracle will pay $109 in cash per NetSuite share in the transaction, expected to close in 2016, a 19% percent premium to Netsuite's closing share price of $91.57 Wednesday.

Shares of NetSuite (N) rose 9% Wednesday on speculation of a deal and shares were up 18% in pre-market trading Thursday to $108.11.

Oracle (ORCL) shares were up 1.7% to $41.66 in pre-market trading

"Oracle and NetSuite cloud applications are complementary, and will coexist in the marketplace forever," said Oracle CEO Mark Hurd in a statement. "We intend to invest heavily in both products – engineering and distribution."   


Courtesy: USA Today