Walmart’s vendor of price optimisation software Demandtec has struck a merger agreement with IBM worth $440m (£281.6m).

Demandtec’s cloud-based analytics solution helps retailers to adjust pricing according to customer buying patterns. Demandtec serves about 450 clients worldwide, including some of the biggest names in retail such as Casino, Ahold, Delhaize and Target. The transaction is subject to Demandtec’s shareholders’ approval and is expected to be closed in the first quarter of 2012.