Oracle Corp. will increase its cash tender offer to purchase all of the outstanding shares of PeopleSoft Inc. to $19.50 per share, or approximately $6.3 billion, a 29 percent premium to the PeopleSoft stock price prior to the announcement of Oracle's cash offer on June 6.
"In the last few days, Oracle executives have had the opportunity to speak with the holders of a majority of PeopleSoft shares," says Oracle Chairman and CEO Larry Ellison. "Many of those shareholders indicated the prices at which they would tender their shares. Therefore, Oracle is raising its all-cash offer to $19.50 per share. Oracle remains committed to acquiring PeopleSoft and will not be deterred by management's maneuvers to maintain control of a company they do not own. Contrary to what PeopleSoft management would have you believe, Oracle intends to fully support PeopleSoft customers and products for many years to come. Satisfying those customers is the key to the success of this acquisition."
In addition, Oracle plans to file suit today in Delaware against PeopleSoft, its board of directors, and J.D. Edwards & Co. “in response to their collective efforts to eliminate PeopleSoft shareholders' ability to accept Oracle's tender offer,” according to a statement released today by Oracle.
In other Oracle news today, the company announced that InnerWireless Inc., an in-building wireless systems and services company, has standardized on the Oracle E-Business Suite to integrate its supply chain, financial and project management operations with zero customizations to the software.
The integration and maintenance and management of the applications by Oracle Outsourcing have helped InnerWireless achieve up to 40 percent savings in annual operational costs, according to an Oracle press release. InnerWireless is a privately held in-building wireless technology, systems and services company that designs, installs and operates infrastructure that delivers wireless voice and data services inside buildings including high rise office buildings, enterprise campuses, malls, convention centers, hotels, government buildings and hospitals. InnerWireless negotiates contracts with property owners to design, engineer, install, and operate the company's InnerMobile system, leasing access on the system to major wireless service providers.
