Uncategorized

MICROSOFT TO ACQUIRE NUANCE COMMUNICATIONS FOR $16 BILLION

Highlights
• According to the reports, all-cash deal pays $56 per Nuance share, which is 23% premium over Friday’s closing price
• Based out of Burlington, Mass., Nuance Communications was a pioneer in speech recognition and artificial intelligence technology
• On Monday, Microsoft finance chief Amy Hood said “Over the past seven years, we’ve taken a consistent approach to mergers and acquisitions of all sizes.”

Tech giant Microsoft Corp. has decided to buy speech-recognition firm Nuance Communications Inc. For a whopping amount of $16 billion
According to the reports, all-cash deal pays $56 per Nuance share, which is 23% premium over Friday’s closing price. The companies put its value including debt at $19.7 billion.
The deal reflects a growing demand for tech applications in healthcare, in particular the use of artificial intelligence said Microsoft CEO Satya Nadella. Talking about Nuance’s expertise in clinical documentation, Nadella said “This is projected to be one of the fastest-growing infrastructure software revenue streams in history.”
Based out of Burlington, Mass., Nuance Communications was a pioneer in speech recognition and artificial intelligence technology, and its software formed the basis of Apple Inc.’s Siri voice assistant before the smartphone maker came up with an in-house version of it.
On Monday, Microsoft finance chief Amy Hood said “Over the past seven years, we’ve taken a consistent approach to mergers and acquisitions of all sizes.”

Comment here