International Business Machines Corporation (IBM) has agreed to acquire the software company, ILOG by way of concurrent cash public tender offers in both France and the United States.

The cash tender offer will be at a price of EUR 10 per ordinary share and the U.S. dollar equivalent per American Depositary Share (ADS) based on the Euro/US dollar exchange rate as of the settlement of the tender offer, amounting to an aggregate purchase price of approximately EUR 215 million or approximately $340 million USD.

The transaction has been approved between the two companies by the board of directors of ILOG, but is subject to the receipt of a satisfactory fairness opinion regarding the financial terms of the offer.

According to ILOG chairman and CEO, Pierre Haren, "The agreement will give us an opportunity to extend our market reach and realize the full potential of all our technologies while protecting investments of ILOG's customers now and in the future."