Aveva Group to Buy US Software Maker OSIsoft
Nicolas Suiffet August 25, 2020 6:30 PM
AVEVA Group, the software company, announced that it has agreed to acquire real-time industrial data software developer OSIsoft for an enterprise value of 5 billion dollars.
AVEVA Group, the software company, announced that it has agreed to acquire real-time industrial data software developer OSIsoft for an enterprise value of 5 billion dollars. Schneider Electric, which owns 60.2% of Aveva's capital, said it "fully" approved this transaction. The transaction will be funded to the tune of 600 million dollars in shares and 4.4 billion dollars in cash, of which 3.5 billion dollars will come from a capital raise. Schneider has committed to subscribe on a pro rata basis to its approximately 2.1 billion dollars stake. The acquisition is expected to be earnings accretive in Aveva's financial year ending March 31, 2022.
This transaction is part of the consolidation of the technology and semiconductor sector. In July, the American Analog Devices bought its compatriot Maxim Integrated for 20.9 billion dollars.
From a chartist point of view, the stock price remains in a short term bullish trend, within an upward-sloping channel, and is supported by the rising 50DMA. The Relative Strength Index (RSI, 14) is holding above a key horizontal support. As long as 4077p is support, the bias remains bullish with 4631p and 4920p as next bullish targets. Alternatively, a break below 4077p would call for a reversal down trend with 3750p as first bearish target.
Source: GAIN Capital, TradingView
From time to time, GAIN Capital Australia Pty Ltd (“we”, “our”) website may contain links to other sites and/or resources provided by third parties. These links and/or resources are provided for your information only and we have no control over the contents of those materials, and in no way endorse their content. Any analysis, opinion, commentary or research-based material on our website is for information and educational purposes only and is not, in any circumstances, intended to be an offer, recommendation or solicitation to buy or sell. You should always seek independent advice as to your suitability to speculate in any related markets and your ability to assume the associated risks, if you are at all unsure. No representation or warranty is made, express or implied, that the materials on our website are complete or accurate. We are not under any obligation to update any such material.
As such, we (and/or our associated companies) will not be responsible or liable for any loss or damage incurred by you or any third party arising out of, or in connection with, any use of the information on our website (other than with regards to any duty or liability that we are unable to limit or exclude by law or under the applicable regulatory system) and any such liability is hereby expressly disclaimed.