Oracle Corp. is trying to acquire a larger stake in the Indian core processing software company i-flex solutions ltd., and is willing to pay more for it.
The Redwood Shores, Calif., software company already owns 55% of i-flex and said Thursday that it wanted to buy 35% more, an increase from its offer in September to buy 20% more. It said then that it would pay about $33 per share, but now it says it is willing to pay 42.8% more, $47.13 per share.
Oracle purchased its initial stake in i-flex, 41%, from Citigroup Venture Capital International in October 2005, and said then that it was required by Indian law to offer to acquire an additional 20% of its outstanding shares.
Oracle increased its ownership stake in August by funding i-flex's purchase of the anti-money-laundering company Mantas Inc. in exchange for more i-flex shares.
The current offer will run through Dec. 23, and Oracle chief executive Larry Ellison said there would not be another one for at least five years unless the price of i-flex drops significantly. "This is the last chance for i-flex shareholders to tender their shares to Oracle," he said in a press release.
