IoT
News
News
12/22/2005
01:29 PM
50%
50%

European Commission OKs Oracle-Siebel Deal

It's the last hurdle to be cleared, and now the deal can close.

The European Commission on Thursday cleared Oracle Corp.'s proposed $5.85 billion acquisition of enterprise-software rival Siebel Systems Inc. in the last regulatory hurdle to seal the deal.

European Commission regulators examined the deal carefully to see the power that the combined companies would create in the European market for customer-relations software and if the combined entity would cause "conglomerate effects."

After examining the operation carefully, the European Commission concluded the transaction would not significantly impede effective competition and approved the acquisition. Oracle offers database products and enterprise application software. Siebel offers customer relationship management software to help companies improve services.

Oracle agreed in September to acquire Siebel. The deal won U.S. antitrust approval from the Department of Justice last month. It's part of Oracle CEO Larry Ellison's strategy to surpass SAP AG and become the world's largest enterprise software company worldwide.

The green light from European antitrust regulators for Oracle to acquire Siebel is in contrast to their response to the software maker's acquisition of rival PeopleSoft just last year. Oracle had to put up an 18-month fight to gain PeopleSoft, but ultimately prevailed. Both the European Commission and the U.S. Department of Justice had raised concerns about the takeover.

“We are very pleased with the Commission's decision and believe we are on track to complete this merger and begin serving our combined customer base in the first quarter of '06, as scheduled," said Bob Wynne, Oracle spokesperson in a prepared statement.

Comment  | 
Print  | 
More Insights
Comments
Newest First  |  Oldest First  |  Threaded View
Register for InformationWeek Newsletters
White Papers
Current Issue
Top IT Trends to Watch in Financial Services
IT pros at banks, investment houses, insurance companies, and other financial services organizations are focused on a range of issues, from peer-to-peer lending to cybersecurity to performance, agility, and compliance. It all matters.
Video
Slideshows
Twitter Feed
InformationWeek Radio
Archived InformationWeek Radio
Join us for a roundup of the top stories on InformationWeek.com for the week of July 24, 2016. We'll be talking with the InformationWeek.com editors and correspondents who brought you the top stories of the week to get the "story behind the story."
Sponsored Live Streaming Video
Everything You've Been Told About Mobility Is Wrong
Attend this video symposium with Sean Wisdom, Global Director of Mobility Solutions, and learn about how you can harness powerful new products to mobilize your business potential.