Tuesday, March 29, 2011

Oracle may bid for Lawson Software

Report says other bidders may also emerge

A news report by www.bloomberg.com today said that the Oracle Corp. may make a bid for Lawson Software, outbidding Infor and Golden Gate Capital’s offer of $1.8 billion.

Lawson Software, which counts billionaire investor Carl Icahn as one of its biggest shareholders, has risen 4.4 percent above the offer of $11.25 a share from Infor and Golden Gate Capital disclosed March 11, according to data compiled by Bloomberg.

Oracle, the second-biggest seller of business applications software, may buy Lawson, whose clients include Safeway Inc. and Volvo AB, Soleil Securities Corp.

Oracle stands to profit from Lawson Software’s medical records and supply-chain management businesses, which analysts estimate will help push the St. Paul, Minnesota-based company’s earnings to a record this year, Bloomberg said. A bidding contest would also increase Icahn’s windfall from his 10.9 percent stake in Lawson Software, which currently represents a 51 percent gain, data compiled by Bloomberg show.

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