Emerson is reportedly in talks to acquire software company Paradigm

(courtesy of Emerson)

(courtesy of Emerson)

According to a piece of news released by Bloomberg, Emerson is in talks to acquire the technology software company Paradigm Ltd.
Paradigm specializes in seismic data interpretation and imaging equipment to help oil and gas companies know where to drill. The logic of such a deal seems sound and will help Emerson stay competitive as GE merges its oil and gas business and industrial software expertise with Baker Hughes Inc.
Bloomberg also reported a price tag for Paradigm as of $1.5 billion, justified by the fact that, although Paradigm is owned by private equity firms Apax Partners and JMI Equity and doesn’t publish financial statements, those firms bought Paradigm for about $1 billion in 2012. The premium for anything software-related has certainly gone up, but the outlook for oil prices was decidedly more optimistic back then.