Mergers News: IBM Making a Move
IBM has agreed to buy the software developer SPSS for $1.2 billion in an all-cash big time offer (in this market, anything north of $1 billion is big time). SPSS makes software that analyzed statistical data to cast predictions on everything from scientific research to marketing, government and even education. The $50 per share offer promises a 42% premium over SPSS’ closing price (7/27/09); the deal is expected to close by year end.
With anticipated growth in the field, IBM seems to believe they are getting a bargain (although $50 per share will be the highest price the stock has ever seen) and is eager to expand its position in the business-analytics technology space. If nothing else, this acquisition will further prove just how cash armed and purchase-ready tech firms are becoming in this, perhaps, cheap market.
