The acquisition is subject to regulatory approval. Business Objects CEO Bernard Liautaud said in a conference call that he expects to complete the acquisition in September.
Liautaud said the deal will allow Business Objects to add financial planning, budgeting, and consolidation applications to its core business-intelligence product line. That will help the company offer a more complete line of tools for performance management, the process of developing strategic plans and monitoring a business' operational performance toward meeting plan goals.
"We believe the business-intelligence market is evolving rapidly from a tactical to a more strategic one," Liautaud said. "In order to have the complete solution in [enterprise performance management], we need planning and budgeting capabilities."
The acquisition is similar to the 2003 acquisition of financial-planning software vendor Adaytum Inc. by Cognos Inc. -- Business Objects' chief rival in the business-intelligence space -- for $157.1 million.
Liautaud was critical of Cognos' move at the time, arguing that it would be a distraction from Cognos' core business. Wednesday Liautaud said Business Objects wanted to finish the process of integrating the products and business operations of Crystal Decisions Inc., which Business Objects acquired in late 2003 for $1.2 billion, before taking its own steps to acquire a financial-planning software vendor.