Informatica to buy Striva for $62 million
- By William Welsh
- Sep 15, 2003
Informatica Corp., a provider of data integration and business intelligence software, will acquire Striva Corp. for $62 million in cash and stock, the company announced Sept. 12.
Through the acquisition, Informatica of Redwood City, Calif., will be able to extend its leadership in comprehensive enterprise data integration and business intelligence. It also will gain increased focus on important vertical industries, such as government, financial services, health care and manufacturing, the company said.
In addition, buying Scotts Valley, Calif.-based Striva will reinforce alliances with partners such as Accenture Ltd., Electronic Data Systems Corp., IBM Corp. and Sun Microsystems Inc.
"The combination of Informatica's adaptive data integration platform and flexible business intelligence software with Striva's award-winning mainframe integration technology will benefit both companies' customers and future prospects by delivering easy-to-use, scalable mainframe data access when and where the business demands," said Gaurav Dhillon, Informatica's president and chief executive officer.
The acquisition has been approved by the board of directors of each company and is subject to regulatory approval and customary closing conditions.
The deal will be accretive to earnings before amortization of intangibles and stock-based compensation beginning in the second half of 2004, according to Informatica.
For the past two years, Striva's technology has been incorporated into Informatica's PowerConnect family of enterprise software products. Striva's technology enables PowerConnect to access mission-critical operational data and deliver it to data warehouses, operational data stores, business intelligence tools and enterprise applications. This collaboration has resulted in more than 130 joint customers.
Informatica has about 800 employees and annual sales of $195 million, according to Hoover's Online of Austin, Texas.
William Welsh is a freelance writer covering IT and defense technology.