ORACLE-BEA - "BEA's Business Might Materially Weaken," Warns Spurned Oracle

(October 29, 2007) - "BEA shareholders should not assume that Oracle will renew its $17 per share offer in the future," thundered an announcement dispatched to the wires yesterday by Oracle just hours after the lapse of its 5PM Pacific Time deadline for the acceptance by BEA shareholders of its $6.7BN unsolicited bid for the company. "Over the last twenty days the BEA Board has repeatedly rejected our offer and refused to meet with us," the statement noted.

The statement didn't beat about the bush in its attempt to make BEA shareholders think twice about its Board's refusal to engage in talks of any kind:

"Over time many things can change: BEA's business might materially weaken, the stock market can fall further from its recent record highs, or Oracle may have committed its capital elsewhere. "

"We asked the BEA Board to allow their shareholders to vote on our $17 per share proposal," the announcement continues. "They chose not to. If the BEA shareholders are unhappy with the behavior of the BEA Board it is up to those shareholders, not Oracle, to take the appropriate action."

The statement then paves the way for the next steps Oracle may decide to take:

"Oracle is not currently engaged in a solicitation of proxies or consents from the stockholders of BEA. However, in connection with its proposal to acquire BEA, certain directors and officers of Oracle may participate in meetings or discussions with BEA stockholders. Oracle does not believe that any of these persons is a "participant" as defined in Schedule 14A promulgated under the Securities Exchange Act of 1934, as amended, in the solicitation of proxies or consents, or that Schedule 14A requires the disclosure of certain information concerning any of them."

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