IBM + Tririga = Tivoli Plus
IBM, has begun their first acquisition of the year and rather than an obscure technology or something involving robots or intergalactic technology, their first spend is in the real estate sector as they begin their purchase of real estate management software, Tririga which expected to close next quarter and to be blended into the IBM Tivoli Software and the IBM Global Business Services.
Tririga is used for “strategic planning decisions” regarding space usage and project assessment with advanced metrics from lease management to sustainability and construction budgeting. The company claims to generate higher returns on companies’ commercial real estate. According to American Banking News, the software is used by over one third of Fortune 100 corporations, 15 federal executive departments.
Why buy Tririga?
IBM states that incorporating Tririga into their offering helps companies cut expenses, as real estate is usually the second largest expense on a company’s income statement after salaries. Last year, IBM acquired 17 companies for a total of $6 billion, and although the financial details of the Tririga acquisition are undisclosed, but for 17 companies to go for $6B, that’s an average of a whopping $353M per buy.
IBM has maintained their focus over the years and although their ship is big and doesn’t move very quickly, they’re the only company with roots dating back to the 19th century, so we doubt this software acquisition will be their last in this space.
Worker Bee
April 1, 2011 at 9:48 am
How much did TRIRIGA sold for? Been hearing rumors that it was sold for $110m…
Lani Rosales
April 1, 2011 at 3:10 pm
It was undisclosed, but that sounds close to what it should be based on IBM’s track record. Maybe even a little more than that.