Oracle makes 'final' offer for PeopleSoft
- By Michael Hardy
- Feb 17, 2004
Oracle letter to PeopleSoft shareholders
Oracle Corp. officials again urged PeopleSoft Inc. shareholders to sell their stock to Oracle, which has been trying for months to buy the its enterprise software rival.
"By rejecting our offer, PeopleSoft's directors have sought to deny you — the true owners of PeopleSoft — the opportunity to sell your shares to Oracle for a substantial premium in an all-cash offer," said the letter to shareholders, signed by Oracle chief executive officer Larry Ellison and chief financial officer Jeff Henley. "Fortunately, you and your fellow PeopleSoft stockholders ultimately do have control over your investment in PeopleSoft, and you do have the ability to act."
The letter urges stockholders to sell their shares to Oracle and to vote for five new PeopleSoft board members that Oracle officials nominated. Oracle recently increased its offer to $26 a share, or $9.4 billion.
"This is our final price, and we believe it represents a compelling value for all PeopleSoft stockholders, particularly in light of PeopleSoft's recent guidance below consensus Wall Street estimates for its first-quarter revenue and earnings," Ellison and Henley wrote.