ERP News

ERP grabs headlines as Oracle acquires NetSuite

1.33K 0

Oracle has shaken the world of ERP software by agreeing to acquire NetSuite, the very first cloud company, in a transaction valued at $109 per share, a total of around $9.3 billion.
CEO Mark Hurd says Oracle will continue to invest heavily in both its own and Netsuite’s cloud products, including engineering and distribution, arguing that the two applications are complementary.
NetSuite has been working for 18 years on developing a single system for running a business in the cloud. CEO Zach Nelson says the firm will benefit from Oracle’s global scale and reach to speed the availability of its cloud solutions in more countries and industries.
Analysts voiced concern that Oracle was still in the process of digesting earlier acquisitions. The NetSuite acquisition follows Oracle’s efforts to switch users of its ERP systems from on-premises to cloud-first subscriptions.
Other analysts see the deal as a move by Oracle to compete with ERP providers in the fast-growing market for cloud services among small businesses, with Oracle’s products viewed as more suited to large corporations.
The transaction, expected to close later this year, is complicated by the fact that Oracle co-founder and 25% owner Larry Ellison also owns more than 45% of NetSuite. Conclusion of the deal is subject to approval by a majority of NetSuite’s shareholders, excluding Ellison and his family.

 

For Full Story, Please click here

Leave A Reply

Your email address will not be published.

*

code