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Oracle buys BEA for USD 8.5bn

Oracle is finally acquiring middleware company (opens in new tab), BEA, for USD 8.5 bn, in what must have been the summer thriller in the tech acquisition sector.

Oracle will pay USD 19.38 per BEA share, well above the initial offer of USD 17 per share but still under the USD 21 that BEA was asking.

Analysts reckon that Oracle was right to persevere since the deal creates a lot of synergies and would make Oracle, the number one player in the middleware segment well ahead of IBM.

Some like Technology Business Research (opens in new tab) analyst Stuart Williams says that BEA sold at the right time, especially as the stock market is heading down and Oracle paid cash for BEA's share.

Over the past decade, Oracle has (opens in new tab) acquired 40 companies with Peoplesoft and Siebel Systems being its largest acquisitions to date.

The news came on the same day that Sun Microsystems, one of Oracle partners, acquired Open Source Database company, MySQL, for USD 1 bn.

Désiré Athow
Contributor

Désiré has been musing and writing about technology during a career spanning four decades. He dabbled in website building and web hosting when DHTML and frames were en vogue and started writing about the impact of technology on society just before the start of the Y2K hysteria at the turn of the last millennium. Following an eight-year stint at ITProPortal.com where he discovered the joys of global tech-fests, Désiré now heads up TechRadar Pro. Previously he was a freelance technology journalist at Incisive Media, Breakthrough Publishing and Vnunet, and Business Magazine. He also launched and hosted the first Tech Radio Show on Radio Plus.