Business Objects, the world`s leading provider of business intelligence (BI) solutions, today announced it has closed the acquisition of SRC Software, a leading vendor of financial planning and performance management software.
"The business intelligence market is evolving very quickly - it is moving from tactical to strategic, from departmental to enterprise-wide, and is increasingly metrics and performance management driven. We believe that the SRC Software acquisition is consistent with our strategy to be the leading provider of business intelligence to the enterprise, as well as to develop a stronger and more strategic relationship with our customers," said Bernard Liautaud, chairman and CEO of Business Objects.
"We believe the acquisition of SRC Software will enable Business Objects to become the only BI vendor that can offer customers the entire spectrum of BI capabilities. We anticipate that these broad BI capabilities will enable strategic performance management solutions that go beyond finance to include an entire organisation, taking our customers to new levels of performance."
The acquisition was an all cash transaction of approximately $100 million US for all outstanding shares of SRC Software, and will be accounted for under the purchase method of accounting. We expect the transaction to be accretive to Business Objects on both a US GAAP and pro forma basis beginning in the first quarter of 2006.
By acquiring SRC Software, Business Objects obtains industry-leading financial planning and performance management products, which offer integrated budgeting, planning, forecasting, consolidations, productivity measurement and reporting systems. Today more than 1 200 customers worldwide use these products to improve overall performance. Prior to the acquisition, SRC Software was a Business Objects technology partner, offering industry-leading solutions for strategic planning, forecasting, capital planning, budgeting, sales and compensation planning and consolidations.
As a result of this partnership, the SRC Software performance management products are already integrated with BusinessObjects XI, allowing extreme insight for all departments and functional areas on the industry`s most trusted platform. Additionally, as a result of this product integration, users can seamlessly integrate with Microsoft Office in order to unlock the power of business intelligence and planning information to drive new levels of performance.
Tom Malone, former CEO of SRC Software, has been named the group vice-president and general manager of the Business Objects planning business unit, reporting to Bernard Liautaud, chairman and CEO of Business Objects.
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