Oracle Snaps Up Taleo for $1.9 Billion

In December, Oracle ($ORCL) bought RightNow. Apparently, they’re still in a buying mode. The company just bought Taleo ($TLEO) for $1.9 billion. TLEO shareholders will get $46 per share which is an 18% premium to yesterday’s close.

Oracle is using acquisitions to build its cloud business as part of efforts to help blunt the impact of a possible slowdown in software sales growth. Cloud services are meant to appeal to customers seeking to save money by letting them access computing power over the Web. Taleo is another fit-in with that strategy, following the $1.5 billion purchase of RightNow Technologies Inc. (RNOW) last year, said Mark Moerdler, an analyst at Sanford C. Bernstein & Co. in New York.

“Taleo is the next-largest player in the talent-management space,” said Moerdler, who rates Oracle “market perform.”

Posted by on February 9th, 2012 at 12:41 pm


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