Oracle Corporation (NASDAQ:ORCL) announced Monday its plans to acquire Tekelec Global Inc (NASDAQ:TKLC), a company specializing in network signaling, policy control, and subscriber data management solutions.
Tekelec Global Inc (NASDAQ:TKLC) has more than 300 service provider customers in more than 100 countries, and the company’s products help telecom service providers manage and monetize mobile data.
Though the financial terms of the deals have not yet been made public, the agreement with Tekelec is expected to close by the first half of the year.
“Together with Oracle Corporation (NASDAQ:ORCL), we expect to accelerate the pace of service innovation by helping service providers transform the way they manage and monetize the explosive growth in signaling and data traffic on their networks,” Tekelec CEO Ron de Lange said in a statement.
The offerings from Oracle Corporation (NASDAQ:ORCL) include databases and software services that help companies to track inventory, manage payroll and complete other tasks. The company has recently adopted an acquisition strategy to expand its offerings that are available online through its Oracle Public Cloud, which was launched last summer.
Just a few weeks back, Oracle posted flat third-quarter earnings owing to lower revenue from new software licenses.
Last month, the enterprise software giant, announced the acquisition of Acme Packet, Inc. (NASDAQ:APKT) to mark its presence in the telecommunications market. The deal with Tekelec Global Inc (NASDAQ:TKLC) is expected to complement the earlier acquisition of Acme Packet.
According to the company, the two acquisitions along with its Oracle Communications capabilities will enhance the full range of services for users seeking to improve operations and control network resources. Also, just two weeks ago, oracle to buy cloud management software business Nimbula
Tekelec Global Inc (NASDAQ:TKLC) was started in 1961 as an old-school Electronics Company aimed at the aviation industry in Europe. Initially the company was registered in U.S. as a telecoms equipment provider for testing services, in 1971. Up till now Siris Capital Group owned the company, which it took control of it in January 2012 for some $780 million.
As of February 2012, at the time when it was acquired by Siris Capital, Tekelec employed 620 workers in Morrisville and 1,140 worldwide. The company at that time was struggling with declining revenues from its traditional technology that facilitates phone calls and text messages.
In the early trading session, the shares of the company were up two cents at $32.00.