It was recently reported by SiliconBeat that Oracle was getting close to reaching a deal that would allow it to purchase Micros Systems for more than $5 billion. If completed, it will be the largest purchase that Oracle has made since purchasing Sun Microsystems in 2010 for $7.4 billion. Bloomberg noted that exclusive talks between the two were ongoing with each side still working out the agreement. Micros, which is based in Columbia, Maryland, provides software for restaurants, hotels, and retailers. Oracle had nearly bought the company six years ago, Bloomberg reported, but the deal fell through at the last minute. According to additional information from Bloomberg’s Business Week, Oracle has spent about $50 billion acquiring about 100 companies over the past decade, with more than 20 geared at specific industries. With revenue at $1.29 billion in 2013, Micros employs more than 6,300 people and has installed more than 330,000 of its systems in table and quick service restaurants, motels, casinos, and other locations in 180 countries, Business Week noted. It is expected to generate $1.34 in fiscal year 2014. Micros shares were up on the news of the possible Oracle deal. If the deal goes through, Business Week stated, Micros would be valued at 29 times its earnings through March. The median paid in software company takeovers in the U.S. is 31 times earnings. Belmero provides support to clients using PeopleSoft software. In 2003, Oracle began to maneuver for control of PeopleSoft, initially offering $13 billion in a hostile takeover attempt. The company lowered its offer to $9.4 billion and, in 2004, was the subject of a anti-trust lawsuit filed by the U.S. Department of Justice. That suit was later dismissed. In November 2004, Oracle again offered $9.4 billion for PeopleSoft and that bid was ultimately accepted. If you would like to maximize your productivity and reduce your costs using PeopleSoft systems, we can help. For more information, contact us.
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