Decision Nº M/05/048 from Competition and Consumer Protection Commission, 2005-09-02

• Jurisdiction: Ireland
• Parties: i-flex solutions ltd.,Oracle Corporation
• Date: 02 September 2005
• Decision Date: 02 September 2005
• Status: Preliminary investigation (Phase 1)
• Court: Competition and Consumer Protection Commission (Ireland)
• Decision Number: M/05/048

1

Determination No. M/05/048 of the Competition Authority, dated 2nd September

2005, under Section 21 of the Competition Act, 2002

Notification No. M/05/048 – Proposed acquisition by Oracle Corporation of i-flex

solutions limited

Introduction

1. On 5th August 2005 the Competition Authority, in accordance with Section 18

(1) of the Competition Act, 2002 (“the Act”) was notified, on a mandatory basis,

of a proposal whereby Oracle Corporation (“Oracle”) would acquire i-flex

solutions limited (“i-flex”).

The Parties

2. Oracle is active in the design, development, manufacture and distribution of

enterprise application software, database and application server software and

related services. It operates one subsidiary in the State and generates turnover

here of €46.32m. Its offerings in the financial services industry are more limited

and it generated c. €2m sales to customers in this sector the most recent

3. i-flex is a company listed on the Bombay Stock Exchange. It offers solutions

specifically developed for banking institutions. Its flagship product Flexcube

offers a comprehensive range of packaged solutions addressing the transaction

processing, accounting and internet delivery needs of a wide range of financial

institutions. i-flex does not have any offices or subsidiaries on the island of

Ireland but generates turnover here of €1.6m.

Analysis

4. There is minimal overlap in the activities of the parties. i-flex estimate that their

share of core banking applications globally is c.2%. There are a number of other

providers of core banking solutions that are based in Europe. The transaction

does not therefore give rise to competition concerns.

Determination

The Competition Authority, in accordance with Section 21(2) of the Competition Act,

2002, has determined that, in its opinion, the result of the proposed acquisition by

Oracle Corporation of i-flex solutions limited will not be to substantially lessen

competition in markets for goods and services in the State and, accordingly, that the

acquisition may be put into effect.