Shares of Aveva Group PLC (LON: AVV) surged more than 4% on Tuesday after the software provider agreed to buy SoftBank-backed firm OSIsoft in a deal worth $5 billion.
The FTSE 100-listed company seeks to expand its operations by acquiring the OSIsoft, which is based in California.
“The acquisition of OSIsoft … will accelerate the Enlarged Group’s role in the digitisation of the industrial world, which is being driven by a need for sustainability, the industrial internet of things, Cloud, data visualisation and artificial intelligence,” Aveva’s Chief Executive Craig Hayman said.
WELCOME BONUS - Free Share Bundle When You Invest £50!
Open a UK Investment Account: Shares, ISAs, Managed Portfolio
Invest in 15,000+ shares and ETFs. Open an account now, invest at least £50, and you’ll get a free share bundle worth between £40 and £200. T&Cs apply.
IG
View Offers
Empfohlener Broker
Multi Asset Platform
In order to complete the deal, Aveva will seek to complete a rights issue of around $3.5 billion. In addition, the Cambridge-based firm will use existing cash, new debt, and issue shares to one of OSIsoft’s shareholders, Estudillo, which holds a 50.3% stake in the company.
Aveva posted a profit jump of 22% for the financial year ending March 30.
- Experience stock trading with a reliable demo account
- Master Connors RSI technical indicator