Oracle to acquire cloud storage company NetSuite

Apr 03, 2018

The software giant Oracle said its plan of purchasing cloud storage company NetSuite in 9.3 billion dollars has taken a step forward as over half of NetSuite’s shareholders agree to the plan.
The company indicated in a Saturday statement that 53% of irrelevant shareholders has quit holding their shares by Friday and the sequential deal would come to an end in 7th.
Oracle has started acquiring NetSuite in July with a price of 109 dollars per share. Its purpose is to cope with the competition of Workday and Salesforce, both of whom have cloud-based products.
Invest manager T. Rowe Price is the second largest shareholders of NetSuite, after Oracle CEO Lawrence J. Ellison. He opposed Oracle’s low price and decided not to buy its stock. And he mailed Oracle last week to ask it rise offer to 133 dollars per share.
Up to July, T. Rowe had has 122 million NetSuite’s share.
According to terms of the treaty, most of NetSuite’s 40.8 million irrelevant shares as well as those which do not bind to Ellison and other insiders should be settled in advance to have the deal done.