IBM makes $1.7B bid for Netezza

Big Blue joins the acquisitions game with a $27-per-share offer for data-management shop Netezza.

By TheStreet Staff Sep 20, 2010 11:37AM

thestreetBy Scott Moritz, TheStreet

 

The data-networking deals continue as IBM (IBM) said Monday that it will pay $1.7 billion for Netezza (NZ).

 

The deal calls for IBM to pay $27 a share in cash for the data storage management and analytics shop, based in Marlborough, Mass.

 

The move comes after what has been an active month of deal talks in the wake of the 3Par (PAR) bidding war sparked by Hewlett-Packard (HPQ) and Dell (DELL). Netezza shares have risen 62% in less than a month on speculation that it was being eyed as an acquisition target by one of the tech giants.

According to the company's website, Netezza's appliances help companies sort through extensive amounts of complex analytics, allowing employees to make data-driven decisions. The company counts Neiman Marcus, Sherwin-Williams (SHW) and Virgin Media (VMED) among its clients.

 

"IBM is bringing analytics to the masses," Steve Mills, IBM's software and systems senior vice president, said in a press release. "We continue to evolve our capabilities for systems integration, bringing together optimized hardware and software, in response to increasing demand for technology that delivers true business value."

 

The announcement of the Netezza-IBM deal at first cooled the excitement around Radware (RDWR), which was thought to be in the sights of either IBM or HP. By midday Monday, Radware shares were rising 3% and Netezza shares were surging 12.4% to $27.65.

 

Related Articles

0Comments

DATA PROVIDERS

Copyright © 2014 Microsoft. All rights reserved.

Fundamental company data and historical chart data provided by Morningstar Inc. Real-time index quotes and delayed quotes supplied by Morningstar Inc. Quotes delayed by up to 15 minutes, except where indicated otherwise. Fund summary, fund performance and dividend data provided by Morningstar Inc. Analyst recommendations provided by Zacks Investment Research. StockScouter data provided by Verus Analytics. IPO data provided by Hoover's Inc. Index membership data provided by Morningstar Inc.

RECENT QUOTES

WATCHLIST

Symbol
Last
Change
Shares
Quotes delayed at least 15 min
Sponsored by:

MARKET UPDATE

NAMELASTCHANGE% CHANGE
There’s a problem getting this information right now. Please try again later.
NAMELASTCHANGE% CHANGE
There’s a problem getting this information right now. Please try again later.
Market index data delayed by 15 minutes

[BRIEFING.COM] The stock market ended the holiday-shortened week on a mixed note as the Dow Jones Industrial Average shed 0.1%, while the S&P 500 added 0.1% with seven sectors posting gains.

Equity indices faced an uphill climb from the opening bell after disappointing quarterly results from Google (GOOG 536.10, -20.44) and IBM (IBM 190.04, -6.36) weighed on the early sentiment. Google reported earnings $0.15 below the Capital IQ consensus estimate on revenue of $15.42 ... More


Currencies

NAMELASTCHANGE% CHANGE
There’s a problem getting this information right now. Please try again later.
Sponsored by:

VIDEO ON MSN MONEY