Feeds

BEA will talk to anyone for $8.3bn

We've already established what you are, now we're just working out a price

Build a business case: developing custom apps

BEA blinked this morning and said it would enter takeover negotiations with Oracle, and anyone else that’s interested, at a floor of $21 per share.

The middleware vendor rebuffed Oracle’s overtures earlier this week, saying it was “worth significantly more than $17 [per share] to Oracle, to others, and most importantly to BEA shareholders".

BEA’s board restated its vigorous objection to Oracle’s initial price this morning, but said it would authorise negotiations with Oracle and other bidders at a price of $21 per share – or around $8.15bn for the company. It's currently trading at $17.7.

BEA has authorised its legal counsel, to “deliver today to any such third parties a draft merger agreement that it is prepared to sign that will be in customary form and provide for an appropriately high degree of certainty of closing”.

All eyes will be on Oracle now to see if it’s ready to add another $4 per share to its offer. It had threatened to drop its $17 per share offer by this Sunday if BEA didn’t start talking

All those references to other third parties and a straightforward sale process make it clear BEA has not just put itself on the block for Oracle, but is fluttering its lashes and pouting at anyone within grabbing distance. Would it like to see a bidding war? Without a doubt.

Whether anyone will rescue it from Oracle’s clutches is another matter. AP reports that German giant SAP has ruled itself out of the bidding, while HP and IBM are keeping schtum. Still, middleware vendors don’t grow on trees, so it's possible that BEA shareholders may be celebrating more than Thanksgiving in the next few months. ®

Build a business case: developing custom apps

More from The Register

next story
NO MORE ALL CAPS and other pleasures of Visual Studio 14
Unpicking a packed preview that breaks down ASP.NET
KDE releases ice-cream coloured Plasma 5 just in time for summer
Melty but refreshing - popular rival to Mint's Cinnamon's still a work in progress
Leaked Windows Phone 8.1 Update specs tease details of Nokia's next mobes
New screen sizes, dual SIMs, voice over LTE, and more
Secure microkernel that uses maths to be 'bug free' goes open source
Hacker-repelling, drone-protecting code will soon be yours to tweak as you see fit
Mozilla keeps its Beard, hopes anti-gay marriage troubles are now over
Plenty on new CEO's todo list – starting with Firefox's slipping grasp
Apple: We'll unleash OS X Yosemite beta on the MASSES on 24 July
Starting today, regular fanbois will be guinea pigs, it tells Reg
HIDDEN packet sniffer spy tech in MILLIONS of iPhones, iPads – expert
Don't panic though – Apple's backdoor is not wide open to all, guru tells us
prev story

Whitepapers

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.
Consolidation: The Foundation for IT Business Transformation
In this whitepaper learn how effective consolidation of IT and business resources can enable multiple, meaningful business benefits.
Backing up Big Data
Solving backup challenges and “protect everything from everywhere,” as we move into the era of big data management and the adoption of BYOD.
Boost IT visibility and business value
How building a great service catalog relieves pressure points and demonstrates the value of IT service management.
Why and how to choose the right cloud vendor
The benefits of cloud-based storage in your processes. Eliminate onsite, disk-based backup and archiving in favor of cloud-based data protection.