Oracle to Buy Textura for $663 Million

By Joshua Jamerson 

Oracle Corp. on Thursday said it agreed to buy cloud-services provider Textura Corp., expanding Oracle's portfolio of engineering and construction industry cloud offerings.

Oracle said the transaction, at $26 a share in cash, values Textura at about $663 million, net of Textura's cash.

Redwood Shores, Calif.-based Oracle said it would combine Textura with its Oracle Primavera products, which also focus on construction projects, to form a business unit offering a cloud-based platform that will manage all phases of engineering and construction projects.

The Textura transaction is expected to close this year.

Oracle's cloud revenue is rising, but the total cloud businesses of rivals such as Amazon Web Services and Microsoft Corp. are larger. Still, Oracle says it has time to catch up.

Oracle said Textura processes $3.4 billion in payments for more than 6,000 projects each month.

Textura on Thursday also reported results for the first quarter. The company said revenue for the quarter grew 28% to $24.7 million, higher than the $24 million analysts polled by Thomson Reuters were expecting.

The company also narrowed its loss to $1.5 million, or 6 cents a share, from $3.1 million, or 12 cents a share, a year ago. On an adjusted basis, the company earned 9 cents a share.

Write to Joshua Jamerson at [e-mail]

(END) Dow Jones Newswires

April 28, 2016 09:57 ET (13:57 GMT)

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