RightNow Technologies Shares Soared: What You Need to Know
Although we don't believe in timing the market or panicking over market movements, we do like to keep an eye on big changes -- just in case they're material to our investing thesis.
So what: The all-cash deal values RightNow at $43 per share, representing a 20% premium to its closing price on Friday. Oracle has been making a big push into the public cloud of late, and RightNow -- its first infrastructure buy -- will add software that helps companies serve customers using call centers, the Internet, and social networks.
Now what: Oracle said the deal has been approved by the RightNow board and should close, pending shareholder and regulatory approval, by early 2012. Given just how rapidly the cloud is growing, RightNow's modern capabilities should definitely help Oracle hang with the likes of salesforce.com (NYS: CRM) . Of course, if Oracle CEO Larry Ellison's takeover appetite is growing once again, don't be surprised to see a flurry of further pushes into the cloud.
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At the time this article was published Fool contributor Brian Pacampara owns no position in any of the companies mentioned. The Fool owns shares of Oracle. Motley Fool newsletter services have recommended buying shares of salesforce.com. Motley Fool newsletter services have recommended shorting salesforce.com. Try any of our Foolish newsletter services free for 30 days.We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Fool's disclosure policy always gets a perfect score.
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