Oracle to buy Responsys in $1.5 billion cloud software push

REUTERS - Oracle Corp , the world's No. 2 business software maker, said it would buy cloud-based marketing software maker Responsys Inc in a deal valued at $1.5 billion.

The offer of $27 per share represents a premium of about 38 percent to Responsys' Thursday closing. Responsys shares were trading at $26.94 on the Nasdaq on Friday.

Responsys makes cloud-based software that businesses use to manage their marketing campaigns across e-mail, mobile and the Internet.

Oracle, led by Larry Ellison, is boosting its cloud software business to fend off competition from nimbler rivals such as Salesforce.com , who offer Internet-based software products at prices that often undercut Oracle.

 

The four-decade-old company has been rolling out its cloud-based products and has created sales teams targeting specific cloud competitors.

The deal with Responsys, which has been approved by the board of directors of Responsys, is expected to close in the first half of 2014.

Oracle shares were down marginally at $36.65 in early trading on the New York Stock Exchange.

(Reporting By Aurindom Mukherjee & Sampad Patnaik in Bangalore; Editing by Saumyadeb Chakrabarty)