By Jennifer Chiou
New York, Oct. 8 - SAP AG and Business Objects SA announced that they have reached a tender offer agreement under which SAP will make a cash offer of €42.00 per ordinary share and for the American Depositary Shares of Business Objects.
The total offer amount, taking into account the transaction costs, will be slightly above €4.8 billion.
The Business Objects board of directors has approved the tender offer agreement and anticipates recommending the offer to its shareholders.
The closing of the transaction is expected within the first quarter of 2008.
The companies said Business Objects will operate as a stand-alone business as part of the SAP Group, adding that John Schwarz will continue as the chief executive officer of Business Objects and is expected to become a member of the SAP executive board.
The tender offer includes all convertible bonds and warrants issued by Business Objects, for which the company will offer €50.65 per bond.
The offer is conditioned on tenders from a majority of holders of Business Objects securities as well as receipt of E.U. and U.S. antitrust approvals.
Based in Walldorf, Germany, SAP is a provider of business software.
Business Objects is a Paris and San Jose, Calif.-based business intelligence software company.
| Acquirer: | SAP AG
|
| Target: | Business Objects SA
|
| Price per share: | €42.00
|
| Transaction total: | €4.8 billion
|
| Announcement date: | Oct. 8
|
| Expected closing: | First quarter of 2008
|
| Stock price for target: | Nasdaq: BOBJ: $50.27 on Oct. 5
|
© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere.
For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.
