Informix ups the ante for hostile purchasers

Database firm attempts to protect itself from unwelcome takeover offers with beefed-up rights plan

Beleaguered database supplier Informix has toughened up its poison pill options in a bid to protect itself from a hostile takeover.

Last week, Informix filed a beefed-up option with the US Securities & Exchange Commission (SEC), which takes the form of a rights plan that will kick in if any buyer purchases more than 20 per cent of the outstanding stock in the company.

If the board of directors regards any prospective offer as fair, then the potential buyer can buy back rights in the firm for 1p per share. But if the offer is seen as a hostile or unwelcome takeover, then the bidder would have to pay $60 per share, making it a less attractive buy. The share price currently trades at about $9.

According to the SEC filing, the plan is ?designed to protect and maximise the value of outstanding equity interests in the company in the event of an unsolicited attempt by an acquisitor to take over the company in a manner, or on terms not approved by the board of directors?.

Meanwhile, Informix has closed its UK City of London office, which it opened to great fanfare 18 months ago as the base for an all-out assault on Sybase?s large installed base in the financial community.

The ailing database supplier has now moved staff to smaller premises a short distance from the original site. The sales team has dwindled from eight to two.

Barbara Stanley, Informix UK marketing director, said: ?It?s slightly smaller, but that is not to say we are no longer committed to the finance sector. We are looking at our business and costs and how to make savings without disrupting the business.?