Oracle discounts bid for PeopleSoft
In what may be the final straw in Oracle's long-running bid to buy business software-maker PeopleSoft, the rival software-maker has reduced its bid by 20%.
Oracle has cut its bid to $7.7bn (£4.4bn), a drop of $1.7bn and said this was due to its competitor’s declining market value. PeopleSoft shares have plunged 24% this year as investors gave up hope that the buy out would take place because of an imminent anti-trust trial, reports suggested.
Three previous offers by Oracle for PeopleSoft, including one of $9.4bn, have all been rejected by the Oracle board.
Since late February Oracle has also been gearing up to fight an anti-trust suit brought by the US Department of Justice, who says the takeover would reduce choice in the market place.
Oracle denies this accusation and will contest it in court.