Shares of Opower Inc. soared 30% in premarket trade Monday, after the provider of cloud services for the utilities industry agreed to be acquired by Oracle Corp. in a deal valued at $532 million. Under terms of the deal, Oracle will pay $10.30 a share in cash for each Opower share outstanding, representing a 30% premium to Friday's closing price. The deal is expected to close this year. "The combination will provide the industry with the most modern, complete cloud applications for the entire utility value chain, from meter to grid to end-customers," said Opower Chief Executive Dan Yates. Opower's stock has tumbled 25% year to date through Friday, while the S&P 500 had gained 1.1%. Oracle's stock, which was still inactive ahead of the open, has surged 9.1% year to date.
Copyright © 2016 MarketWatch, Inc.
Continue Reading Below