German business software maker SAP said on Thursday it has agreed to acquire US-based travel and expense management service Concur Technologies in a cash deal valued at $7.3 billion.

SAP said in a statement it would offer $129 per share, a 20 per cent premium over the September 17th closing price.

Based on 57 million outstanding shares, the offer for Bellevue, Washington-based Concur is valued at $7.3 billion. Including debt, the offer represents an enterprise value of about $8.3 billion, SAP said.

The Concur board of directors has unanimously approved the transaction, which is expected to close in the fourth quarter of 2014 or the first quarter 2015, subject to shareholder and regulatory approvals, SAP said.

SAP is the largest software company in Europe and the third largest in the world.

It opened its first facility in Ireland in 1997 and currently employs about 1,200 people here.

Reuters