Close
  • Latest News
  • Big Data and Analytics
  • Cloud
  • Networking
  • Cybersecurity
  • Applications
  • IT Management
  • Storage
  • Sponsored
  • Mobile
  • Small Business
  • Development
  • Database
  • Servers
  • Android
  • Apple
  • Innovation
  • Blogs
  • PC Hardware
  • Reviews
  • Search Engines
  • Virtualization
Read Down
Sign in
Close
Welcome!Log into your account
Forgot your password?
Read Down
Password recovery
Recover your password
Close
Search
Logo
Logo
  • Latest News
  • Big Data and Analytics
  • Cloud
  • Networking
  • Cybersecurity
  • Applications
  • IT Management
  • Storage
  • Sponsored
  • Mobile
  • Small Business
  • Development
  • Database
  • Servers
  • Android
  • Apple
  • Innovation
  • Blogs
  • PC Hardware
  • Reviews
  • Search Engines
  • Virtualization
More
    Home Applications
    • Applications

    Ellison to Donate Some of NetSuite’s IPO Earnings to Charity

    By
    Renee Boucher Ferguson
    -
    December 10, 2007
    Share
    Facebook
    Twitter
    Linkedin

      Larry Ellison has a giving heart this holiday season. In the Dec. 10 commencement of its online IPO auction, NetSuite, in which the Oracle CEO has a 60 percent ownership, revealed that Ellison will donate some of the proceeds from NetSuite’s stock sales to charities.

      NetSuite filed for an IPO in June and on Dec. 10 kicked off its online shares auction-a format designated to allow both institutional and individual investors to secure IPO shares, according to a statement released by the company.

      NetSuite filed a statement with the Securities and Exchange Commission in October that said Ellison would set aside the voting power of 639.3 million NetSuite shares in a “lockbox”-disabling his direct voting influence on the company. With his shares effectively locked away, Ellison will not have the right to vote for NetSuite board directors as long as he remains director of Oracle. However, Ellison retains the right to vote on changes in NetSuite’s ownership.

      In NetSuite’s prospectus, posted on the company’s IPO auction Web site, NetSuite officials said Ellison will transfer into another lockbox almost 32 million shares that will be used for charitable purposes upon Ellison’s direction.

      Click here to read more about NetSuite’s auction.

      While it’s unclear if Ellison will donate charitable gifts to outside organizations or to his own Ellison Medical Foundation, which supports biological research in understanding the aging process and age-related diseases, the charitable designation for NetSuite’s shares seems a good first step in rebuilding Ellison’s shaky reputation in the world of billion-dollar givers. The highlights of his charitable donations include one instance where a California judge allowed Ellison to donate $100 million to his own charitable foundation to settle an insider trader lawsuit.

      In another instance-a response to the Sept. 11 terrorist attacks-Ellison offered to donate software to the federal government that would enable it to build a national identification database and issue national ID cards, an offer that fell under fierce speculation and debate. In June 2006, Ellison withdrew a $115 million pledge to Harvard University.

      On the other hand, NetSuite’s IPO and subsequent trading success could determine how much Ellison chooses to distribute from the NetSuite lockbox.

      NetSuite sells on-demand ERP (enterprise resource planning) software to the small and mid-sized market. While it’s credited as the first company to develop an integrated suite of back-office applications that help businesses run-from financials to e-commerce automation-the company is facing stiff competition, including Oracle, which has its own on-demand capabilities. At the same time, SAP has an on-demand suite geared toward the mid-market, and Microsoft will utilize its CRM (customer relationship management) on-demand software, expected this month, as a development platform that some analysts say will be the model for on-demand ERP.

      In fiscal year 2006, NetSuite saw a net loss of $35.7 million, and $20.6 million for the first nine months in 2007. In all, the company has accumulated a deficit of $241.6 million.

      NetSuite is expected to begin trading on the New York Stock Exchange Dec. 19 under the “N” symbol.

      Check out eWEEK.com’s Enterprise Applications Center for the latest news, reviews and analysis about productivity and business solutions.

      Renee Boucher Ferguson

      MOST POPULAR ARTICLES

      Cybersecurity

      Visa’s Michael Jabbara on Cybersecurity and Digital...

      James Maguire - May 17, 2022 0
      I spoke with Michael Jabbara, VP and Global Head of Fraud Services at Visa, about the cybersecurity technology used to ensure the safe transfer...
      Read more
      Cloud

      Yotascale CEO Asim Razzaq on Controlling Multicloud...

      James Maguire - May 5, 2022 0
      Asim Razzaq, CEO of Yotascale, provides guidance on understanding—and containing—the complex cost structure of multicloud computing. Among the topics we covered:  As you survey the...
      Read more
      Big Data and Analytics

      GoodData CEO Roman Stanek on Business Intelligence...

      James Maguire - May 4, 2022 0
      I spoke with Roman Stanek, CEO of GoodData, about business intelligence, data as a service, and the frustration that many executives have with data...
      Read more
      Applications

      Cisco’s Thimaya Subaiya on Customer Experience in...

      James Maguire - May 10, 2022 0
      I spoke with Thimaya Subaiya, SVP and GM of Global Customer Experience at Cisco, about the factors that create good customer experience – and...
      Read more
      IT Management

      Intuit’s Nhung Ho on AI for the...

      James Maguire - May 13, 2022 0
      I spoke with Nhung Ho, Vice President of AI at Intuit, about adoption of AI in the small and medium-sized business market, and how...
      Read more
      Logo

      eWeek has the latest technology news and analysis, buying guides, and product reviews for IT professionals and technology buyers. The site’s focus is on innovative solutions and covering in-depth technical content. eWeek stays on the cutting edge of technology news and IT trends through interviews and expert analysis. Gain insight from top innovators and thought leaders in the fields of IT, business, enterprise software, startups, and more.

      Facebook
      Linkedin
      RSS
      Twitter
      Youtube

      Advertisers

      Advertise with TechnologyAdvice on eWeek and our other IT-focused platforms.

      Advertise with Us

      Menu

      • About eWeek
      • Subscribe to our Newsletter
      • Latest News

      Our Brands

      • Privacy Policy
      • Terms
      • About
      • Contact
      • Advertise
      • Sitemap
      • California – Do Not Sell My Information

      Property of TechnologyAdvice.
      © 2021 TechnologyAdvice. All Rights Reserved

      Advertiser Disclosure: Some of the products that appear on this site are from companies from which TechnologyAdvice receives compensation. This compensation may impact how and where products appear on this site including, for example, the order in which they appear. TechnologyAdvice does not include all companies or all types of products available in the marketplace.

      ×