, the New York-based consulting and accounting firm, said Monday that it had purchased a 1.3% equity stake in the Internet software company
as part of a $30 million deal that includes jointly developing and marketing analytic software for the business-to-business sector.
Informatica's shares rose following the announcement, trading up 1/2, or 1%, at 74 1/2 in Monday afternoon trading, after reaching a session high of 86. (Informatica closed down 5 3/16, or 7%, at 68 13/16).
Gaurav Dhillon, Informatica's chief executive, said the deal was based on the fair-market value according to the share price on the day the transaction was completed.
Mike Schroeck, a managing partner of PricewaterhouseCoopers' global data warehousing unit, said the deal would enable his company to take advantage of an anticipated boom in the e-business data warehousing and business intelligence software sector.
Citing data supplied by
, Schroeck said the data warehousing and business intelligence sector was expected to grow nearly fivefold to $150 billion in 2003, from $37 billion in 1999.
"This is clearly being driven by companies interested in and committed to analytics," Schroeck said, adding that this is the first equity stake his company has taken in an analytic software business. PricewaterhouseCoopers, however, does have partnership agreements with other companies in the sector.
Under the terms of the agreement with Informatica, PricewaterhouseCoopers will also supply about 16 full-time workers and consultants to work on developing and marketing analytic tools.
Dhillon of Palo Alto, Calif.-based Informatica said he could not provide any information regarding what impact the alliance with PricewaterhouseCoopers would have on the company's earnings since Informatica was currently in a quiet period in the run-up to the publication of first-quarter earnings.