Oracle, the California-based software giant, has agreed to purchase Opower, a cloud-based energy software company, for $532 million in cash, or $10.30 per share. The deal is expected to close by the end of this year.
Opower provides cloud-based energy efficiency software services to more than 100 utilities worldwide, including Exelon and Pacific Gas & Electric. The company stores and analyzes meter information from 60 million end-use customers, enabling utilities to exploit the data to trim costs, boost efficiency and enhance reliability.
The deal would create the world’s largest provider of mission-critical cloud services to utilities, Oracle said.
“Utilities want modern technology solutions that work together to meet their evolving customer, operational and compliance needs,” said Rodger Smith, senior vice president and general manager of Oracle’s Global Business Unit.
Opower’s Board of Directors has approved the deal, which is still awaiting approval from the company’s shareholders.