Mercury Interactive to buy Kintana for $225M
Scarlet Pruitt, IDG News Service Scarlet Pruitt IDG News Service
The deal confirms consolidation in the enterprise software market following last week's bid by Oracle Corp. to buy PeopleSoft Inc. -- which had just announced plans of its own to buy J.D. Edwards & Co.
https://www.computerworld.com/wp-content/themes/cw-b2b-child-theme/src/static/img/cw/apple-touch-icon.png
Computerworld
Mercury Interactive Corp. announced today that it has signed an agreement to acquire privately held Kintana Inc. for approximately $225 million in cash and stock, underscoring a trend toward consolidation in the enterprise software market.

Application delivery and management software maker Mercury Interactive said it was scooping up Kintana, which makes IT governance software, in an effort to strengthen its position by allowing it to offer more complete offerings for managing businesses.

The buy comes on the heels of enterprise software maker Oracle Corp.’s headline-grabbing bid to acquire industry rival PeopleSoft Inc., and PeopleSoft’s planned buy of J.D. Edwards & Co. (see story).

“Our industry is at an inflection point,” Mercury Interactive Chairman, CEO and President Amnon Landan said in a statement. “CIOs are grappling with how to manage costs, risks and performance against a backdrop of business complexity.”

Sunnyvale, Calif.-based Mercury Interactive said the combination of its application delivery software with Kintana’s compliance products will give technology executives more complete business management offerings.

The transaction involves $100 million in Mercury Interactive stock and $125 million in cash and is expected to close in the third quarter of 2003, pending antitrust clearance and stockholder approval, Mercury Interactive said. The company will also assume all of Kintana’s unvested outstanding options.