Oracle buys PeopleSoft

Oracle buys PeopleSoft

Oracle has been trying to accomplish this since months and it finally happened. PeopleSoft CEO Craig Conway lost his job in the process as Oracle now takes over the company with a deal that is going to cost them USD 10.3 billion.

The deal took place just before the court proceedings involving the two parties over the takeover bid were going to start. Oracle after reviewing the books of the PeopleSoft found their maintenance revenue was higher and expenses were lower than their estimates.

This lead to Oracle making a new offer of USD 26.50 compared to older offer of USD 24.00. This was accepted by the PeopleSoft board. The formalities of the acquisition should be over by next month. Oracle has also promised to support the products manufactured by PeopleSoft and their subsidiaries.

PeopleSoft spokesperson had this to say about the deal: “After careful consideration, we believe this revised offer provides good value for PeopleSoft stockholders and represents a substantial increase in value from October.”