Oracle stock fell 4% in premarket trading on Friday, owing to claims that the company is chasing its largest acquisition ever in order to expand further into healthcare.

According to A major newswire, the business software company could pay up to $30 billion for Cerner, an electronic medical records company with $4.3 billion in revenue and a market value of about $24 billion as of Thursday. Cerner's stock jumped 19% in premarket trading.

Oracle: all in the family | Financial Times

Oracle's current income stream includes a significant portion of healthcare. The company provides technology to assist insurers, care providers, and public health systems in analyzing data in order to improve patient outcomes.

Oracle's migration to the cloud, which the corporation was cautious to embrace at first, is likely to benefit from the acquisition. In the previous year, its strategy has gotten more aggressive.

Healthcare has become a go-to industry for tech businesses looking to explore fresh sources of growth in the post-Covid era. Nuance Communications, a provider of clinical speech recognition software, medical transcription, and medical imaging, has agreed to buy Microsoft for $16 billion. This agreement is subject to regulatory approval.