Microsoft Corp. has agreed to purchase synthetic intelligence firm Nuance Communications Inc. for $16 billion, extending Chief Govt Satya Nadella’s run of huge acquisitions to speed up progress in the whole lot from healthcare to videogaming.
Microsoft mentioned Monday it could pay $56 per Nuance share, a 23% premium over Friday’s closing worth, in a guess on the rising demand for digital instruments inside healthcare. The all-cash deal is Microsoft’s second largest acquisition below Mr. Nadella. The corporate in 2016 spent about $26 billion for skilled community LinkedIn Corp.
Mr. Nadella’s deal making has taken off since that landmark buy. Microsoft has undertaken greater than 100 acquisitions up to now 4 years, in keeping with knowledge supplier Dealogic, committing greater than $26 billion not together with the Nuance deal.
Final yr, Mr. Nadella tried to amass components of short-video app TikTok, earlier than talks fell aside. Quickly after, Microsoft struck a $7.5 billion deal for videogame firm ZeniMax, the maker of the favored Doom franchise. Microsoft this yr has held talks to amass messaging platform Discord Inc. for $10 billion or extra, The Wall Avenue Journal reported final month.
“Over the previous seven years, we’ve taken a constant method to mergers and acquisitions of all sizes,” Microsoft finance chief Amy Hood mentioned on an investor name Monday. Driving the offers, she mentioned, is Microsoft’s want to develop into high-growth markets.