SAP Buying Business Objects In $6.6 Billion Cash Deal

SAP has agreed to acquire Business Objects in a $6.6 billion cash deal. This deal, the biggest ever for SAP, is clearly aimed at countering quite a few acquisitions from rival Oracle.

The companies said the deal—which Business Objects will recommend to its shareholders, subject to regulatory conditions—is expected to close in the first quarter of 2008, according to this Reuters story.

Reuters quoted Trip Chowdhry, a Silicon Valley based analyst with Global Equities Research, as saying the SAP deal was backward-looking. "I don't think this is something investors should be cheering," he said. "They are picking up the leftovers. The good companies at the right prices have already been acquired."