PeopleSoft Inc has announced an offer to buy one of its closest allies in the retail management software sector, Intrepid Systems Inc, for $58m in stock. The move is intended to strengthen PeopleSoft’s presence in one of its fastest growing vertical markets, by adding more industry specific functions to its ERP offerings. Intrepid has been working closely with PeopleSoft since December 1996, after a decision to migrate its operational decision support and data mining software to the PeopleTools client/server environment, and away from the IBM Corp AS/400. Hence this consummation of the relationship comes as no surprise to others in the sector. JDA Software Group Inc, which claims to be the largest provider of retailing computer systems in the World, and which also made an acquisition this week, dismissed the PeopleSoft acquisition as, not really being news, due to the small number of client which Intrepid serves, approximately 20 to 25 verses JDA’s claimed 540. PeopleSoft says it will offer just under 1.4 million shares (approximately 0.6% of the current shares outstanding) in exchange for Intrepid, which will form part of PeopleSoft’s Retail Business Unit. Intrepid’s CEO, Rich White, will become a vice president of business development. The transaction will be accounted for as a pooling of interests.
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