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.