Oracle-Sun Deal Hits Roadblock

Regulators in Europe will take up to four months to rule on the viability of the multibillion-dollar merger agreement.

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Posted on Sep 03, 2009

Oracle Corp.’s acquisition march has been halted at the gates of Europe.

The European Commission announced today that it will conduct an in-depth review of Oracle’s $7.4 billion bid to acquire Sun Microsystems, purveyor of the MySQL open source database technology, the Java programming language, the Solaris operating system, a portfolio of servers, and other technology.

The commission said it will rule on the matter by Jan. 19, 2010. When Oracle and Sun announced the deal in April, the two companies said they hoped it would close this summer.

A statement issued today by the Competition Commission said, “The commission’s initial market investigation indicated that the proposed acquisition would raise serious doubts as to its compatibility with the [European] Single Market because of competition concerns on the market for databases.”

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