Oracle Says PeopleSoft Drops Legal Challenge
From Associated Press
Business software maker Oracle Corp. said takeover target PeopleSoft Inc. backed off from a legal threat to block the proposed $5.1-billion union between the rivals. The reversal came a day after Oracle disclosed that PeopleSoft had signaled its intent to seek an Alameda County Superior Court order to thwart the bid.
Oracle Chief Executive Larry Ellison sent a letter to PeopleSoft CEO Craig Conway urging the companies to meet in the boardroom instead of the courtroom.
PeopleSoft declined to comment on the legal threat. The company’s board of directors will review the bid and make its recommendation to shareholders by June 20, PeopleSoft said.
