Enterprise applications Toolkit

Oracle to acquire Demantra

Dawn Kawamoto CNET News

Published: 01 Jun 2006 15:55 BST

Oracle announced Thursday plans to acquire supply chain developer Demantra, marking its latest effort to expand its footprint in the applications market.

Demantra, a 10-year-old company based in Waltham, Massachussetts, develops supply chain planning applications. The company's Demantra Spectrum Suite, for example, is designed to handle tasks such as retail planning and replenishment of inventory in stores, as well as real-time sales and operation planning.

The acquisition not only will help Oracle expand its supply chain applications business, but also help it focus more intently on particular industries. Demantra recently landed customer C&S Wholesale Grocers, the second largest wholesale grocer in the US It also counts as customers McCain Foods, Korbel and Welch's.

Oracle, which has been on an aggressive acquisition path, is battling archrival SAP AG for dominance in the applications industry.

With the pending Oracle acquisition, SAP will likely lose Demantra as one of its Powered By SAP NetWeaver partners.

The Demantra acquisition is expected to close next month. Financial terms were not disclosed.