IBM's Rational acquisition approved

IBM Corp. has cleared the final hurdles in its plan to acquire Rational Software Corp.

The 30-day waiting period required by the Hart-Scott-Rodino Antitrust Improvements Act of 1976 has passed, and Rational's shareholders have approved the deal, Rational announced Jan. 22.

The federal government is one of Rational's main vertical markets. In its most recent fiscal quarter, ended Dec. 31, 2002, Rational drew about 10 percent of its $161.9 million in revenue from the sector, public relations manager John Coffey said.

IBM will pay about $2.1 billion in cash to acquire Rational, which has headquarters in Cupertino, Calif. Rational makes development tools to aid software designers.

The two companies expect to finalize the acquisition this quarter.

Featured

  • Defense
    Soldiers from the Old Guard test the second iteration of the Integrated Visual Augmentation System (IVAS) capability set during an exercise at Fort Belvoir, VA in Fall 2019. Photo by Courtney Bacon

    IVAS and the future of defense acquisition

    The Army’s Integrated Visual Augmentation System has been in the works for years, but the potentially multibillion deal could mark a paradigm shift in how the Defense Department buys and leverages technology.

  • Cybersecurity
    Deputy Secretary of Homeland Security Alejandro Mayorkas  (U.S. Coast Guard photo by Petty Officer 3rd Class Lora Ratliff)

    Mayorkas announces cyber 'sprints' on ransomware, ICS, workforce

    The Homeland Security secretary announced a series of focused efforts to address issues around ransomware, critical infrastructure and the agency's workforce that will all be launched in the coming weeks.

Stay Connected