Feeds

PeopleSoft shows J.D. Edwards the money

Adds cash to bid

  • alert
  • submit to reddit

Internet Security Threat Report 2014

PeopleSoft has reworked its bid for J.D. Edwards, hoping to convince shareholders the deal should proceed no matter what Oracle says.

A new agreement has PeopleSoft paying $863 million in cash and issuing 52.6 million shares of stock to scoop up enterprise app maker J.D. Edwards. Shareholders can pick the previous $1.7 billion all stock bid or choose to receive $7.05 and 0.42 a share of PeopleSoft stock for every share of J.D. Edwards they own.

PeopleSoft hopes this move will help close the deal at a quicker clip and stop earnings per share from being watered down too much. Adding cash to the equation calls for less PeopleSoft shares to be issued.

PeopleSoft shareholders may convene as early as the first week of July to vote on the deal. Executives from both companies are scrambling to convince customers and investors that they are serious about making this transaction happen.

J.D. Edwards shareholders will no doubt be pleased to see the cash option and to see that PeopleSoft has hiked its bid from $1.7 billion to $1.75 billion.

Oracle has a different idea about the way things should play out. The database giant has offered to pony up $5.1 billion for PeopleSoft - a brutal bid backed up by equally forceful tactics.

Oracle issued a statement on Monday, taking a swipe at PeopleSoft.

"If you consider that PeopleSoft and J.D. Edwards put together the best financing approach when they announced their original merger, this sub-optimal approach can only be a ploy to preserve management's self-interest," Jim Finn, Oracle spokesman said in the statement. "This move does not deter Oracle and our offer remains before shareholders."

Due to the fierce nature of their conflict, it's to be expected that both sides would do some repositioning.

The Hatfields and McCoys may have settled their feud, but this one is just beginning. ®

Related Stories

What does consolidation mean for the customers?
PeopleSoft sues Oracle after all
J.D. Edwards sues Oracle and Ellison
Oracle says 'We're flatter than PeopleSoft'

Providing a secure and efficient Helpdesk

More from The Register

next story
Facebook, Apple: LADIES! Why not FREEZE your EGGS? It's on the company!
No biological clockwatching when you work in Silicon Valley
Doctor Who's Flatline: Cool monsters, yes, but utterly limp subplots
We know what the Doctor does, stop going on about it already
'Cowardly, venomous trolls' threatened with TWO-YEAR sentences for menacing posts
UK government: 'Taking a stand against a baying cyber-mob'
Happiness economics is bollocks. Oh, UK.gov just adopted it? Er ...
Opportunity doesn't knock; it costs us instead
Arab States make play for greater government control of the internet
Nerds told to get lost in last-minute power grab bid at UN meeting
Zippy one-liners, broken promises: Doctor Who on the Orient Express
Series finally hits stride, but Clara's U-turn is baffling
Don't bother telling people if you lose their data, say Euro bods
You read that right – with the proviso that it's encrypted
Apple SILENCES Bose, YANKS headphones from stores
The, er, Beats go on after noise-cancelling spat
prev story

Whitepapers

Forging a new future with identity relationship management
Learn about ForgeRock's next generation IRM platform and how it is designed to empower CEOS's and enterprises to engage with consumers.
Why cloud backup?
Combining the latest advancements in disk-based backup with secure, integrated, cloud technologies offer organizations fast and assured recovery of their critical enterprise data.
Win a year’s supply of chocolate
There is no techie angle to this competition so we're not going to pretend there is, but everyone loves chocolate so who cares.
High Performance for All
While HPC is not new, it has traditionally been seen as a specialist area – is it now geared up to meet more mainstream requirements?
Intelligent flash storage arrays
Tegile Intelligent Storage Arrays with IntelliFlash helps IT boost storage utilization and effciency while delivering unmatched storage savings and performance.