Published Jun 26, 2023 06:24AM ET© Reuters IBM in advanced talks to acquire software firm Apptio for $5 billion - WSJIBM +1.48% Add to/Remove from WatchlistInternational Business Machines (NYSE: ) is reportedly in advanced talks to buy software firm Apptio in a deal worth around $5 billion, according to Wall Street Journal. Apptio is a private software company owned by Vista Equity Partners. The private equity firm paid around $2 billion to acquire Apptio, whose software is used to track and manage software and services costs, in 2019. Responding to the WSJ article, UBS analysts believe that such a deal would not be enough to re-rate the IBM shares. "Aside from an initial one-time revenue lift to IBM revenue in the year the potential deal would close, if Apptio drives incremental growth of ~$100M/yr, a transaction would only accelerate IBM's PF revenue growth by ~15-20 bps."

Source: Wall Street Journal June 26, 2023 11:04 UTC