PeopleSoft plunks down $1.7bn for J.D. Edwards


  • alert
  • submit to reddit

Next gen security for virtualised datacentres

PeopleSoft is to gobble up J.D. Edwards for $1.7 billion in shares.

The two companies have combined annual revenues of $2.8 billion, which would rank second behind SAP in the enterprise applications market. The deal should help PeopleSoft expand its reach in the services and manufacturing industries.

The two companies announced the plan on Monday and expect to close the deal in the late third quarter or early fourth quarter. J.D. Edwards will becomes a PeopleSoft subsidiary, and the combined company will have 13,000 employees.

Software makers have been merging apace during these troubled times. The glory days of the CRM-startup have passed.

Some of the bigger buys of late include IBM's acquisition of Rational, Veritas' purchase of Precise and Jareva, and EMC's deal to grab Astrum Software.

PeopleSoft and J.D. Edwards hope that overlap between their existing customer bases will be minimal. PeopleSoft has its expertise in high-end CRM and ERP apps, while J.D. Edwards tends to play with smaller companies, especially those involved in manufacturing.

PeopleSoft could use a boost to make up for a slowdown in revenue. The company has already warned that 2003 profits will come in below last year's. In addition, those always timid competitors Oracle and Microsoft are eyeing PeopleSoft's business hungrily.

With this deal, PeopleSoft has planted a large stake through the heart of the mid-market and signaled that it's more than ready to take Redmond head on. ®

Related Stories

SAP results outperform rivals
PeopleSoft sales, profits slip
PeopleSoft rolls out more v.8.8 apps

5 things you didn’t know about cloud backup

More from The Register

next story
The Return of BSOD: Does ANYONE trust Microsoft patches?
Sysadmins, you're either fighting fires or seen as incompetents now
Oracle reveals 32-core, 10 BEEELLION-transistor SPARC M7
New chip scales to 1024 cores, 8192 threads 64 TB RAM, at speeds over 3.6GHz
Microsoft: Azure isn't ready for biz-critical apps … yet
Microsoft will move its own IT to the cloud to avoid $200m server bill
Docker kicks KVM's butt in IBM tests
Big Blue finds containers are speedy, but may not have much room to improve
US regulators OK sale of IBM's x86 server biz to Lenovo
Now all that remains is for gov't offices to ban the boxes
Gartner's Special Report: Should you believe the hype?
Enough hot air to carry a balloon to the Moon
Flash could be CHEAPER than SAS DISK? Come off it, NetApp
Stats analysis reckons we'll hit that point in just three years
Dell The Man shrieks: 'We've got a Bitcoin order, we've got a Bitcoin order'
$50k of PowerEdge servers? That'll be 85 coins in digi-dosh
prev story


Endpoint data privacy in the cloud is easier than you think
Innovations in encryption and storage resolve issues of data privacy and key requirements for companies to look for in a solution.
Implementing global e-invoicing with guaranteed legal certainty
Explaining the role local tax compliance plays in successful supply chain management and e-business and how leading global brands are addressing this.
Top 8 considerations to enable and simplify mobility
In this whitepaper learn how to successfully add mobile capabilities simply and cost effectively.
Solving today's distributed Big Data backup challenges
Enable IT efficiency and allow a firm to access and reuse corporate information for competitive advantage, ultimately changing business outcomes.
Reg Reader Research: SaaS based Email and Office Productivity Tools
Read this Reg reader report which provides advice and guidance for SMBs towards the use of SaaS based email and Office productivity tools.