Oracle to buy Australia's Aconex for $1.19 billion

They said in a statement its directors unanimously recommended the offer

Australia’s Aconex said on Monday it had received a A$1.56 billion ($1.2 billion), or A$7.80 in cash-per-share, buyout offer from US software major Oracle, sending the target’s share price up 45 per cent.

Aconex said in a statement its directors unanimously recommended the offer, with shareholders of the cloud-based project management company scheduled to vote on the bid at a scheme meeting in March next year.



The Australian company specializes in web-based project management software that allows input from different teams. Its technology has been used on global projects including the Panama Canal extension.

“Oracle’s offer of A$7.80 per share represents a significant premium and a high degree of certainty of value to shareholders through the cash offer and limited conditionality,” Aconex Chairman Adam Lewis said in a statement.

Aconex founders Leigh Jasper and Rob Phillpot, who both have holdings of just over 5 per cent, declined interview requests on Monday.

The company has experienced massive share price fluctuations since listing in 2014 at A$1.90, and peaking at just above A$8.50 last year.

The share price rose 45 per cent immediately after trading resumed on Monday to just below the A$7.80 cash-per-share offer.



Aconex, which focuses on construction projects, said it would be liable to pay Oracle about 1 per cent of the deal’s equity value as a break-up fee under certain conditions which it did not specify.

Oracle said in a statement that the transaction was expected to close in the first half of 2018.

The proposed transaction was one of two major US-Australian technology deals unveiled on Monday, with Australian data centre provider Metronode receiving a A$1.04 billion ($791.2 million) bid from US company Equinix.