To further bolster its cloud offerings, Alphabet-owned Google has announced that it has entered a definitive agreement to acquire Apigee — leading provider of API technology and services for enterprises and developers. It will be shelling out a sum total of approximately $625 million for all outstanding shares at $17.40 per share in cash. The transaction is expected to close by the end of this year 2016.
APIGEE announced that it has entered into a definitive agreement under which Google will acquire Apigee for $17.40 per share in cash, for a total value of approximately $625 million. The transaction is subject to the satisfaction of customary closing conditions, including Apigee stockholder approval and applicable regulatory approvals. The companies expect the transaction to close by the end of 2016.
San Jose-based Apigee’s software helps companies’ digital services interact with apps used by customers and partners.
The service is critical for businesses transitioning to the cloud, Diane Greene, who runs Google’s cloud computing division, said in an interview. “They are a leader in this application programming interface area,” she said.
Cloud computing is the increasingly popular practice of using remote internet servers to store, manage and process data.
Apigee specializes in managing so-called application programming interfaces, or APIs, the channels through which digital services connect when a company logs a purchase for a customer or places an order with a supplier.