Sun shareholders act to block Oracle deal
Things turn litigious
Larry Ellison might be expressing his love for Sun Microsystems' Sparc, but there's no guarantee the architecture will actually finish up in his arms.
A group of Sun shareholders have gone to court in an attempt to block the Oracle chief executive's proposed $5.6bn acquisition of the company.
Shareholders have filed three separate actions citing "breach of fiduciary duty", according to Sun's latest Securities and Exchange Commission (SEC) filing. The actions have been filed with a court in Sun and Oracle's home state of California.
The lawsuits claim the amount offered for Sun is "unfair and inadequate." The tender price offered by Oracle was generally considered to be a bargain, and came as Sun has been shopping itself around the industry. Ironically, it was a group of Sun's shareholders - Southeastern Asset Management - that increased their holding in the company throughout the course of 2008 as part of a move to influence management and help "realize" Sun's value.
Sun and Oracle have yet to respond to the allegations.
You can read Sun's full filing here.