Infor makes unsolicited $1.84B bid for ERP vendor Lawson

Infor offers US$11.25 per share for Lawson

Lawson Software received an unsolicited buy out offer of US$11.25 per share, or around $1.84 billion, from rival ERP (enterprise resource planning) software vendor Infor.

Lawson confirmed the offer from Infor and its parent, private equity firm Golden Gate Capital, late Friday. A deal had been rumored all week. The offer price is slightly below the $11.55 per share Lawson's stock closed at on Friday.

Lawson did not provide the overall value of the deal. The $1.84 billion figure was derived from the total number of shares outstanding the company reported in its most recent quarterly earnings statement in January.

Infor, along with Lawson, is one of the industry's largest remaining ERP vendors after SAP, Oracle and Microsoft. Lawson reported $736.4 million in revenues during its fiscal 2010 and had a market capitalization of $1.89 billion on Friday.

Lawson has retained Barclay's Capital as an advisor on the potential deal, and "has not made any determination to sell the company or engage in any other strategic transaction," according to a statement.

It will not comment further on the possible acquisition until an agreement is finalized, talks are ended or Lawson's board completes a review of the offer, the statement adds.

Infor did not immediately respond to a request for comment. Last year, the company named former Oracle co-president Charles Phillips as CEO.

Phillips was known at Oracle for his key role in that company's long string of acquisitions over the past several years.

Rumors that Lawson would be sold have swirled since activist investor Carl Icahn took a stake in the company last year. Icahn is known for his tendency to push for changes in company strategy that he believes would benefit stockholders, including a sale.

The deal makes sense for Infor, as it gives the company inroads into verticals such as health care and human resources, said analyst Ray Wang, CEO of Constellation Research.

That said, "Lawson would be fine on its own as an independent company," as its CEO, Harry Debes, has done a solid job, Wang said.

Chris Kanaracus covers enterprise software and general technology breaking news for The IDG News Service. Chris's e-mail address is Chris_Kanaracus@idg.com

Join the newsletter!

Error: Please check your email address.
Rocket to Success - Your 10 Tips for Smarter ERP System Selection

Tags business issuesMergers / acquisitionsapplicationsMicrosoftenterprise resource planningInforsoftwareLawson SoftwareOracle

Keep up with the latest tech news, reviews and previews by subscribing to the Good Gear Guide newsletter.

Chris Kanaracus

IDG News Service
Show Comments

Father’s Day Gift Guide

Most Popular Reviews

Latest Articles

Resources

PCW Evaluation Team

David Coyle

Brother PocketJet PJ-773 A4 Portable Thermal Printer

I rate the printer as a 5 out of 5 stars as it has been able to fit seamlessly into my busy and mobile lifestyle.

Kurt Hegetschweiler

Brother PocketJet PJ-773 A4 Portable Thermal Printer

It’s perfect for mobile workers. Just take it out — it’s small enough to sit anywhere — turn it on, load a sheet of paper, and start printing.

Matthew Stivala

HP OfficeJet 250 Mobile Printer

The HP OfficeJet 250 Mobile Printer is a great device that fits perfectly into my fast paced and mobile lifestyle. My first impression of the printer itself was how incredibly compact and sleek the device was.

Armand Abogado

HP OfficeJet 250 Mobile Printer

Wireless printing from my iPhone was also a handy feature, the whole experience was quick and seamless with no setup requirements - accessed through the default iOS printing menu options.

Azadeh Williams

HP OfficeJet Pro 8730

A smarter way to print for busy small business owners, combining speedy printing with scanning and copying, making it easier to produce high quality documents and images at a touch of a button.

Andrew Grant

HP OfficeJet Pro 8730

I've had a multifunction printer in the office going on 10 years now. It was a neat bit of kit back in the day -- print, copy, scan, fax -- when printing over WiFi felt a bit like magic. It’s seen better days though and an upgrade’s well overdue. This HP OfficeJet Pro 8730 looks like it ticks all the same boxes: print, copy, scan, and fax. (Really? Does anyone fax anything any more? I guess it's good to know the facility’s there, just in case.) Printing over WiFi is more-or- less standard these days.

Featured Content

Latest Jobs

Don’t have an account? Sign up here

Don't have an account? Sign up now

Forgot password?