Oracle on Friday announced a surprise $5.1 billion takeover bid for enterprise software maker PeopleSoft, only a few days after PeopleSoft said it was acquiring rival J.D. Edwards for $1.7 billion. PeopleSoft CEO Craig Conway said the offer was 'atrocious' and a transparent attempt to disrupt PeopleSoft's acquisition of J.D. Edwards.
Read PeopleSoft calls Oracle bid 'atrocious'.
Wall Street on Oracle's PeopleSoft bid.
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Oracle bids to acquire PeopleSoft; Offer called 'atrocious' (14 messages)
- Posted by: Floyd Marinescu
- Posted on: June 06 2003 16:42 EDT
Threaded Messages (14)
- So what does it mean ? by Srinivas Chidumalla on June 06 2003 17:25 EDT
- So what does it mean ? by Wille Faler on June 06 2003 17:30 EDT
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So what does it mean ? by Cary Bloom on June 06 2003 06:15 EDT
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So what does it mean ? by Jason McKerr on June 06 2003 06:31 EDT
- Re: So what does it mean ? by Radu Buzila on June 06 2003 08:12 EDT
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So what does it mean ? by Jason McKerr on June 06 2003 06:31 EDT
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So what does it mean ? by Cary Bloom on June 06 2003 06:15 EDT
- So what does it mean ? by Wille Faler on June 06 2003 17:30 EDT
- Is this a genuine offer or just a disruptive tactic? by Henrik Klagges on June 06 2003 18:11 EDT
- Is this a genuine offer or just a disruptive tactic? by Vlad Ender on June 08 2003 16:57 EDT
- Is this a genuine offer or just a disruptive tactic? by Nat Paramasivam on June 08 2003 18:57 EDT
- Wats happening arround by Amit Jha on June 09 2003 04:54 EDT
- Time For IBM To Add ERP Feather To Its Cap by srinivasan sundara rajan on June 09 2003 09:42 EDT
- And I thought only Microsoft was crooked .. by sean decor on June 10 2003 04:45 EDT
- And I thought only Microsoft was crooked .. by Elango Narayanasamy on June 10 2003 08:34 EDT
- Remember what ORCL did last summer to stupid Gov. Davis by sean decor on June 10 2003 04:49 EDT
- Only ORCL ? by Alexandar Borissov on June 10 2003 07:22 EDT
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So what does it mean ?[ Go to top ]
- Posted by: Srinivas Chidumalla
- Posted on: June 06 2003 17:25 EDT
- in response to Floyd Marinescu
Does it mean that anybody can start a 'bid' process without a request from company ? Can someone explain me ? -
So what does it mean ?[ Go to top ]
- Posted by: Wille Faler
- Posted on: June 06 2003 17:30 EDT
- in response to Srinivas Chidumalla
If a company is publicly traded on a stock-exchange its pretty much up for grabs for anyone with enough money if the stock float is large enough on the market, wether the companys management wants it or not. -
So what does it mean ?[ Go to top ]
- Posted by: Cary Bloom
- Posted on: June 06 2003 18:15 EDT
- in response to Wille Faler
Not so fast .. that's precisely why many companies have the "poison pill" concept to thwart hostile takeovers. -
So what does it mean ?[ Go to top ]
- Posted by: Jason McKerr
- Posted on: June 06 2003 18:31 EDT
- in response to Cary Bloom
Posion pills do not often work very well.
Often companies with a combination of some (not all) factors make good acquisition targets: depressed valuation (stock price), lots of cash on hand, little, or no debt.
That way, the purchase can be financed with the companies assets. For example, you could buy the company and pay of the financing with the cash, or issue debt.
A poison pill can take many shapes, but a common one (and what you are probably referring to) is a Shareholder Rights Plan. In a Rights Plan, the company issues convertible preferred shares to shareholders that are convertible to an equal or greater number than thos outstanding. This dilutes the raiders equity interest. This is a poison pill because it makes it more expensive to buy.
There are other types of poision triggers as well.
Let's think about it though: Who does this really protect or help? The shareholders are likely to benefit from an unsolicited tender offer because the stock price jumps immediately (PeopleSoft up 20% today).
This is often just a way for senior management to protect themselves and their positions. Poison pills often preempt legitimate takeover attempts that could truly benefit the shareholders.
Jason McKerr
Northwest Alliance for Computational Science and Engineering -
Re: So what does it mean ?[ Go to top ]
- Posted by: Radu Buzila
- Posted on: June 06 2003 20:12 EDT
- in response to Jason McKerr
To Jason's point, see today's CBS Marketwatch issue at http://netscape5.marketwatch.com/news/story.asp?guid=%7BA343F7B6%2D45E8%2D445D%2D83CA%2D35105E6A7A1A%7D&siteid=netscape -
Is this a genuine offer or just a disruptive tactic?[ Go to top ]
- Posted by: Henrik Klagges
- Posted on: June 06 2003 18:11 EDT
- in response to Floyd Marinescu
Given the circumstances, I doubt whether this is a genuine takeover offer. Rather, I think Larry was angry that one of his competitors stole him some media attention, so he just fired out an inadequate, quickly stitched-together offer to ruin the PeopleSoft-JDEdwards marriage party.
Or does anybody here believe that the corporate cultures of Oracle (=sharkpond) and PeopleSoft (=NOT sharkpond) could be merged?
Best regards,
Henrik Klagges
TNGtech -
Is this a genuine offer or just a disruptive tactic?[ Go to top ]
- Posted by: Vlad Ender
- Posted on: June 08 2003 16:57 EDT
- in response to Henrik Klagges
I think it's just getting rid of competitor. I.e. they buy it, and in a year's time all PS installations will be replaced by Oracle.
Regards,
Vlad -
Is this a genuine offer or just a disruptive tactic?[ Go to top ]
- Posted by: Nat Paramasivam
- Posted on: June 08 2003 18:57 EDT
- in response to Henrik Klagges
Its hard to belive this is a genuine offer.
I guess, Oracle (and its ever fire brand CEO), wants to disrupt PeopleSoft takeover of J.D.E.(for some reason). -
Wats happening arround[ Go to top ]
- Posted by: Amit Jha
- Posted on: June 09 2003 04:54 EDT
- in response to Floyd Marinescu
Bigs are eating the smalls IBM -> Rational
PeopleSoft -> JDEdwards
Oracle -> PaopleSoft
IBM/HP -> SUN -
Time For IBM To Add ERP Feather To Its Cap[ Go to top ]
- Posted by: srinivasan sundara rajan
- Posted on: June 09 2003 09:42 EDT
- in response to Floyd Marinescu
In this fiery market IBM always looked like a soft/mellow company without any aggression. They have positioned nicely in middleware market with WEBSPHERE/MQ/DB2 combination. With the strength of price waterhouse and IBM consulting behind them time for IBM to takeover peoplesoft. Among the bidders it is IBM/PeopleSoft combination is a win/win situation. IBM has the money to do it and the technology to handle it and determination to proceed with it.
Go peoplesoft at ibm dot com.
(Opinions are my personal) -
And I thought only Microsoft was crooked ..[ Go to top ]
- Posted by: sean decor
- Posted on: June 10 2003 04:45 EDT
- in response to Floyd Marinescu
Oracle is one step ahead in the corporate politics game .
Dont forget what they did last summer to stupid Governer Davis of california ... -
And I thought only Microsoft was crooked ..[ Go to top ]
- Posted by: Elango Narayanasamy
- Posted on: June 10 2003 08:34 EDT
- in response to sean decor
Your astonishment is quite natural. Every company engages some tactics in ony way or another. It's dog eat dog world.
There is nothing holy about a company. Or a language/platform they evangelize for that matter.
Cheers,
Elango -
Remember what ORCL did last summer to stupid Gov. Davis[ Go to top ]
- Posted by: sean decor
- Posted on: June 10 2003 04:49 EDT
- in response to Floyd Marinescu
Sold some 200,000 license of oracle - 1 per employee. Oracle is really bad in marketing & sales .. absolutely no Ethics .. I had a meeting with a sales guy and he reduced his price by almost 25% in a 20 mintes just to get our business and after the deal cheated us in a fine print 100 page contract by reducing the support from 3 year to 2 year. Make sure u deal with ORCL with caution -
Only ORCL ?[ Go to top ]
- Posted by: Alexandar Borissov
- Posted on: June 10 2003 07:22 EDT
- in response to sean decor
I deal with ORCL,IBM,MSFT and HP and don't see a big difference with sales tactics used by them . You idea that ORCL is the "bad boy" seems to me a little bit childish.
Regards,
Alex