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Abstract

In September 2005, after years of bitter competition, Siebel Systems Inc finally agreed to be acquired by Oracle Corporation. The two companies preferred different forms of consideration as payment for Siebel Systems and used a deal structure known as a ''double dummy'' to satify both parties. The case requires students to examine how the unique deal structure meets the tax and non-tax preferences of the corporations and their shareholders.

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Abstract

In September 2005, after years of bitter competition, Siebel Systems Inc finally agreed to be acquired by Oracle Corporation. The two companies preferred different forms of consideration as payment for Siebel Systems and used a deal structure known as a ''double dummy'' to satify both parties. The case requires students to examine how the unique deal structure meets the tax and non-tax preferences of the corporations and their shareholders.

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