Oracle Bids $6.7 Billion for BEA Systems

October 15th, 2007

Oracle, the world’s third largest software company, is making an acquisition bid on a company that would boost Oracle’s chances to compete with Microsoft and IBM . Oracle made the $6.7 billion unsolicited offer to the board of directors of BEA Systems.The letter proposes to acquire BEA for $17 per share in an all cash deal. That’s a 25 percent premium over Tuesday’s closing pricing of $13.62. According to the letter, Oracle is prepared to proceed immediately to the next step: a definitive agreement.

BEA sells application server software and middleware. Software developers use its products to build systems on which other applications run. If Oracle successfully acquires BEA, it would mark the company’s biggest deal since it bought Siebel for about $6 billion in 2006. Earlier this year, Oracle purchased Hyperion Solutions, a business software developer, for more than $3 billion.

Click here to read the rest of this story on NewsFactor.

Entry Filed under: King Content