Oracle extends PeopleSoft deadline

Oracle has announced it is extending its deadline for tendering shares in its hostile bid for PeopleSoft until mid-September.

Oracle has pushed its tender offer deadline to 19 September - a move largely anticipated since federal antitrust regulators have yet to issue a decision on whether to challenge Oracle's buyout bid.

Jim Finn, an Oracle spokesman, said in a statement: "We are extending our offer for PeopleSoft and we remain fully committed to acquiring PeopleSoft."

As of Friday, PeopleSoft investors had tendered 37.7 million shares, or roughly 10 per cent of outstanding shares.

A PeopleSoft spokesman, referring to the pace at which shares were being tendered, said: "The rejection notices just keep piling up. Shareholders of PeopleSoft believe PeopleSoft has a better plan" than Oracle's takeover.

The 19 September deadline is the third extension Oracle has announced since it launched its hostile bid for PeopleSoft in early June. But it is not uncommon to see such deadlines pushed back in a hostile bid, as acquiring companies try to collect more than 50 per cent of outstanding shares of the target companies, proxy solicitors said.

Oracle had previously set a 15 August deadline for PeopleSoft investors to tender their shares.

Meanwhile, Oracle and PeopleSoft will also update the Delaware Chancery Court on Sept. 15 as to when they would like a hearing scheduled to address Oracle's attempt to remove PeopleSoft's antitakeover measure, or "poison pill."

Alorie Gilbert writes for News.com