Mergers and acquisitions in the computer software and services industry heated up to record levels in the first half of 1988, according to a new survey.
The number of deals rose 39 percent in comparison to the same period a year earlier, while the value of the deals shot up to $5.4 billion, more than twice as great as in the first half of 1987.The survey provided to The Associated Press is conducted by Broadview Associates, a Fort Lee, N.J.-based investment banking firm, for Adapso, an Arlington, Va.-based computer software and services industry association.
The biggest deal of the half-year was Dun & Bradstreet Corp.'s $1.6 billion acquisition of IMS International, a provider of market information for the health-care industry, Broadview said.
That deal ranked as the second largest ever behind General Motors Corp.'s $2.5 billion acquisition of Electronic Data Systems in 1984.
There were 10 other deals for over $100 million, including one valued at $500 million in which a 50 percent share of United Airlines' Apollo reservation system was bought by five airlines: British Airways, Swissair, KLM, Alitalia and USAir.
Edward Metz, a partner in Broadview, said the airline deal indicated the importance of controlling computer technology to "attaining and maintaining an international competitive edge."