Oracle-BEA Timeline

Oct 24, 09:29 AM

Current Headlines: By San Jose Mercury News, Calif.

Oct. 24--TIMETABLE OF A PROPOSED DEAL

Oracle's interest in BEA Systems has been mentioned for years, but it only recently made an offer for the company:

SEPT. 14: Activist investor Carl Icahn calls for the sale of BEA Systems, disclosing in an SEC filing that he had increased his holding of BEA stock to 8.5 percent of outstanding shares.

OCT. 9: Oracle of Redwood City makes a confidential offer to buy BEA Systems of San Jose for $17 a share, or nearly $6.7 billion.

OCT. 11: BEA responds confidentially to the offer, writing that its board believes the company is worth "substantially more" than Oracle has offered, but leaving the door open to further discussion.

OCT. 12: Oracle reveals the offer by posting a letter on its Web site from Oracle President Charles Phillips to BEA's board of directors. Phillips writes that the offer is the culmination of discussions "over the last several years" and that Oracle looked forward to "completing a friendly transaction as soon as possible."

BEA responds by confirming it received the offer and posting on its Web site its Oct. 11 letter rejecting the offer as too low.

Icahn says he's "happy" about the offer but thinks BEA is worth more.

Oracle complains in a letter that BEA's management had agreed to, and then canceled, an Oct. 12 meeting to begin discussions that would lead to closing the deal by Monday, Oct. 15.

BEA faxes Phillips to clear up "misunderstandings" -- it says it did not agree to meet or come to an agreement by Monday, nor did it say there wasn't any way a friendly deal could be reached.

TUESDAY: Oracle posts a letter to BEA's directors on its Web site, saying it is giving the company until 5 p.m. Sunday to accept, or the $17-a-share offer will expire.

BEA replies, saying again that $17 a share is not enough.

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