News :: Go Back ::
Software Deal of the Decade
In a surprise move that made us check the date for April 1, Oracle today made a hostile bid for Peoplesoft. The price, $5.1 billion, is a slight 6% premium over Peoplesoft's stock value traded yesterday. In turn, Oracle's stock has dropped slightly since the announcement.
The deal comes directly on the heels of PeopleSoft's announcement of its planned $1.7 billion friendly takeover of JD Edwards, the manufacturing ERP vendor. See our prior article on this topic.
Oracle has for years attempted to develop its own applications business in an effort to diversify out of nearly complete reliance on its dominant database management software. Faced with slowing demand and pricing resistance, the company would, by buying PeopleSoft, acquire an immediate substantial presence in enterprise-level human resources applications.
:: Go Back ::