Business software makers Oracle Corp. and SAP AG intensified their takeover tug-of-war for retail software maker Retek Inc. as they progressively raised the stakes with higher bids. Oracle finished the day Thursday with the higher offer at US$11.25 (¤8.41) per share, trumping SAP's US$11- (¤8.20) per-share bid from earlier. Oracle raised the stakes even after Retek's board unanimously accepted SAP's offer. SAP spokesman Markus Berner declined to comment Friday on Oracle's sweetened bid. The Germany-based company first thought it had acquired Minneapolis-based Retek for US$8.50 (¤6.33) per share 2½ weeks ago, but then Oracle offered US$9 (¤6.7) per share. Oracle valued its latest all-cash bid at US$669 million (¤500 million), nearly two times Retek's market value before the auction began. SAP's current bid is worth US$654 million (¤489 million), based on the number of outstanding Retek shares. Investors had been anticipating an even higher offer from Oracle. SAP shares rose 0.3 percent to ¤120.97 (US$161.76) in Friday morning trading in Frankfurt. Retek's shares had surged 11 percent Thursday on the Nasdaq Stock Market, while Oracle's shares gained slightly. AMR Research analyst Bruce Richardson said he won't be surprised if SAP and Oracle swap bids for a while longer. If it prevails, Oracle will be on the hook for more than just the sales price. As part of its new deal with Retek, SAP raised the break-up fee to US$25 million (¤18.6 million), up from US$15 million (¤11.2 million) previously. Retek would likely require Oracle to pay the fee. --more 1339 Local Time 1039 GMT
