Oracle Corp. (NYSE: ORCL) said it will buy utilities software company Opower Inc. (NYSE: OPWR) for $532 million. The announcement comes on the heels of Oracle’s pending purchase of cloud company Textura.
Opower’s software stores meter data, runs energy efficiency reports and provides other energy data use for providers. Its technology is designed to help energy customers save money, reduce energy demands from providers, and decrease call center volume. Opower, based in Arlington, Virginia, works with energy and utility providers such as Consolidated Edison Inc. (NYSE: ED), National Grid plc (NYSE: NGG) and Pepco Holdings Inc. (NYSE: POM).
“Utilities want modern technology solutions that work together to meet their evolving customer, operational and compliance needs,” says Rodger Smith, senior vice president and general manager, Oracle utilities business unit.
Cloud-services companies have been attractive targets for buyers. In April, private equity firm HGGC acquired a majority stake in cloud software company FPX, and cloud-based event management software provider Cvent Inc. (NYSE: CVT), entered into a deal to be purchased by affiliates of Vista Equity Partners LLC. For more on M&A deal flow in the cloud space, see Cloud-Computing will Keep the Deals Coming.