Business intelligence software developer Cognos Inc. made a move Thursday to strengthen its corporate performance management offerings by acquiring enterprise performance planning software developer Adaytum Inc. in a cash transaction valued at $160 million.
Separately, Ottawa-based Cognos reported that fiscal third-quarter revenues and profits were up over the same period last year. Revenues jumped from $124.2 million to $138.1 million while net income increased from $13.3 million to $19.1 million.
In acquiring Adaytum, Cognos gets a company with $57 million in annual revenues and 1,500 customers, many of which are also Cognos customers, according to Cognos CFO Tom Manley.
"This acquisition truly has accelerated our vision for delivering the best solution possible for enterprise corporate performance management," Manley said.
While Cognos had already been refocusing its business intelligence software toward CPM, Manley said Minneapolis-based Adaytum gives Cognos "domain expertise" in planning applications.
Guy Haddleston, CEO of Adaytum, described Cognos and his company as a "powerhouse combination" in a statement.
"We share Cognos vision for CPM of helping customers align business strategy with execution across the enterprise so they can make better decisions and improve performance," said Haddleton. "With this acquisition, we can fully leverage the best integrated BI in the world. It will be a perfect match."
The deal has been approved by the boards of both companies and is expected to close next month.