PeopleSoft Inc. has ditched its plans to go to court to block Oracle Corp.s takeover bid, Oracle officials said in a release late Tuesday.
According to the release, PeopleSoft had planned to appear in court on Tuesday but contacted Oracle legal counsel to say they would not.
PeopleSoft officials declined to comment.
This is contrary to prior notice from PeopleSofts counsel that the company would seek a temporary restraining order on Oracle, of Redwood Shores, Calif., and expedite discovery from the court.
With PeopleSofts resistance to Oracles hostile takeover bid apparently crumbling, Oracle officials once again requested a meeting with PeopleSofts board of directors. Oracle CEO Larry Ellison on Monday had requested both a meeting and a cessation to “frivolous litigation.”
Now that PeopleSoft has given Ellison half of that wish list, Oracle officials are pressing for the rest. “We are hopeful that this apparent change in course indicates that the PeopleSoft Board will be willing to meet with us to discuss our offer,” said Oracle Executive Vice President Safra Catz, in a release. “We have made an all-cash, fully financed offer to the PeopleSoft shareholders. We believe that the PeopleSoft Board can best serve those shareholders by recommending acceptance of our offer.”
Oracles release also contained advice to stockholders of PeopleSoft, in Pleasanton, Calif. The document urged stockholders to read the Offer to Purchase and related materials “carefully” to digest the terms and conditions of the offer. The Offer to Purchase and related materials are available at the Securities and Exchange Commissions Web site, from Credit Suisse First Boston LLC, the dealer manager for the offer. The purchase offer can also be obtained from MacKenzie Partners, the information agent for the offer, or directly from Oracle.