AVEVA acquires US giant OSIsoft for $5bn
Global industrial software leader AVEVA has acquired California-based real-time industrial data software and services company OSIsoft for $5bn - $4.4bn cash, and $600m in shares.
AVEVA, whose global HQ is on Madingley Road, is a FTSE100 global leader in engineering and industrial software founded in Cambridge in 1967, currently employing 1,700 people.
OSIsoft is a global leader in real-time industrial data software and services whose mission is “accelerating the digital transformation of the industrial world”. Founded in 1980, it is jointly owned by SoftBank’s Vision Fund, and founder and chief executive officer J Patrick Kennedy’s family.
AVEVA and OSIsoft “will combine their complementary product offerings”, OSIsoft’s data management software complementing AVEVA’s comprehensive end-to-end engineering, operations, and performance offerings.
“Integrating OSIsoft’s PI System into AVEVA’s comprehensive software portfolio will create an integrated data foundation that can drive big data, cloud and AI-driven insights to create meaningful business outcomes for customers,” said a spokesperson.
OSIsoft’s PI System enables customers to collect, normalize, store, and stream real-time, high-fidelity operational data to applications, analytics, and AI and ML platforms. PI System acts as a single system of record for operations data, designed for massive cloud-enabled scale and data sharing across enterprises, and enables insightful operations decision making.
Craig Hayman, CEO of AVEVA, said: “Combining AVEVA and OSIsoft is yet another significant milestone in our journey to achieving the ambitious growth goals that we have set. This will not only help us serve existing customers better but also open the flood gates to new opportunities which will accelerate the delivery of our digitization vision. Data has been enabling organisations to more effectively determine the cause of problems by allowing them to visualize what is happening in different locations, departments and systems. This agreement will enable our customers to improve business processes as well as eliminate inefficiencies. We are extremely proud to be moving into the next chapter with an even stronger solutions portfolio as well as an ever-increasing and robust customer base which continues to make us leaders in our sector.”
OSIsoft founder and CEO Dr J Patrick Kennedy added: “Joining forces with AVEVA enhances and extends our ability to deliver on our key commitments to our customers, partners and employees. Together we will be better able to service the largest digital transformation projects in history, including across industry 4.0+ and IIoT. AVEVA’s interest in OSIsoft is a testament to our talented team, and the extraordinary value of the PI System as the real-time streaming data infrastructure that powers the industrial world. Today’s announcement is the culmination of a thoughtful search for a respected organization that would mesh with our own strong mission- and customer-driven culture. The next chapter in PI’s fifth decade will be exciting for our employees and customers, and I look forward to my continued involvement in my new role as the largest individual shareholder in the combined company and as Chairman Emeritus to ensure we realize the full benefits of this transaction.”
The two company’s product suites are open and interoperable, and many customers leverage both solution sets. Their combined digital transformational strategies will drive greater efficiencies, flexibility, lower costs, deeper data-driven insights, sustainability and business resilience. OSIsoft works with 1,000 of the world’s leading power and utilities companies, 38 of the Global Fortune Top 40 oil and gas companies, all of the Global Fortune Top 10 metals and mining companies, 37 out of 50 of the world’s largest chemical and petrochemical companies and 9 out of 10 of the Global Fortune Top 10 pharmaceutical companies.
