BEA rejects Oracle overture

BEA HAS TURNED down Oracle's $6.7 billion bid to buy it out, claiming it isn't enough.

Oracle may be offering a 25 per cent premium over BEA's closing stock price on 11 October, but BEA president William Klein thinks the valuation does not properly reflect the company's value.

Said Klein on a missove to Oracle: "It is apparent to our board ... that BEA is worth substantially more to Oracle, to others and, importantly, to our shareholders than the price indicated in your letter."

Middleware BEA's stock price rose nearly 40 per cent on Friday, suggesting investors expect Oracle to raise its offer. µ

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