IBM To Acquire Apptio for $4.6 Billion to enhance Cloud and Automation Capabilities

In the latest deal to enhance its cloud and automation capabilities, IBM announced on Monday that it will acquire cloud software company Apptio from Vista Equity Partners for $4.6 billion in cash.

In premarket trade, IBM shares were down less than 1%. IBM stated that it will finance the transaction with cash on hand and anticipates that it will close in the second half of 2023.

Apptio, based in Seattle, was founded in 2007 to assist businesses manage and understand their cloud spending by providing functions such as IT budgeting, forecasting, and financial analysis.

International Business Machines Corporation is a worldwide technology corporation located in Armonk, New York, with operations in over 175 countries. It specialises in computer hardware, middleware, and software, as well as hosting and consulting services spanning from mainframe computers to nanotechnology. IBM is the world's largest industrial research organisation, with 19 research sites in a dozen countries. From 1993 to 2021, IBM held the record for the most yearly U.S. patents generated by a firm for 29 years.