Oracle announced today that it is to acquire California-based Hyperion Solutions, to bolster the company's business intelligence capabilities.

Hyperion is a performance management software provider and sells products to corporations for business data analysis and financial planning.

Oracle would not reveal the cost of the acquisition, but analysts believe it could be in the region of £1.7 billion.

The deal, set to close in April, is expected to extend the organisation’s business intelligence product strategy, Oracle said in a statement.

Hyperion has provided software to more than 12,000 customers worldwide and has worked with 91 per cent of the Fortune 100, according to the software company.

Last year, Oracle bought the management software maker, Siebel Systems, for £3 billion and PeopleSoft for £5 billion in 2005.