U.S. software major Oracle Corp takes over Aconex for $1.2 billion

Oracle corp. is buying Melbourne based construction software developer, Aconex, for $1.2 billion in cash. Aconex’s cloud-based software allows teams working on building projects collaborate and share documents. The deal values Aconex at 7.80 Australian dollars per share, and this price represents 47% more than Friday’s closing price of $4.05. The transaction is expected to close in the first half of 2018, subject to shareholder and regulatory approvals.

Last year, Oracle acquired contract and payment management platform, Textura for $663 million, and now, Aconex is its second acquisition of a cloud-based construction software maker. The company specializes in web-based project management software that allows input from different teams. Its technology has also been used on global projects including the Panama Canal extension. After purchasing Textura, Oracle combined it with its own construction management software called Primavera, to form the Oracle Construction and Engineering Global Business Unit.

In a letter to Aconex’s customers, co-founder and chief executive officer, Leigh Jasper said, “We expect that Oracle’s continued investment in Aconex will deliver more functionality and capabilities at a quicker pace, as well as provide better integration and alignment with Oracle’s other product offerings.” The addition of Aconex will significantly advance its vision of offering the most comprehensive cloud-based project management solutions. According to reports, Oracle is also set to buy three other companies, i.e., API design platform Apiary, developer tools startup Wercker and Moat, which measures ad engagement.