UPDATE 1-SAP shares seen open lower after Sybase deal

* Analysts express some concern about integration

* SAP shares indicated 1.6 percent lower in pre-market trade

(Adds detail and background)

FRANKFURT, May 13 (BestGrowthStock) – Shares in SAP AG (SAPG.DE: )
looked set to start trading lower on Thursday after the German
software company offered to buy smaller U.S. rival Sybase Inc
(SY.N: ) for $5.8 billion.

Shares in SAP were indicated 1.6 percent lower, according to
pre-market data from brokers at 0634 GMT.

Analysts said SAP was finally catching up to rivals by
growing with acquisitions, but there was some doubt whether SAP
would be able to get the most out of the deal.

“We see this as a win-win for both SAP and Sybase,” said
analyst Jack Gold at J.Gold Associates. “However, SAP does not
have the most stellar history of buying companies and then
maximising its investments in the technologies it has acquired.”

SAP said on late on Wednesday it had agreed to pay $65 per
share in cash for Sybase, which is the world’s No. 4 provider of
database software — a 56 percent premium to Sybase’s Tuesday
closing price on the New York Stock Exchange.

California-based Sybase sells programmes that make it easy
for workers to access business software via smartphones and
other mobile devices. SAP already uses the technology to let
customers access its applications when they are on the road.

SAP’s main rival, Oracle Corp (ORCL.O: ), was the first major
software maker to aggressively pursue acquisitions and has spent
more than $42 billion to buy about 60 companies.

Stock Analysis

(Reporting by Nicola Leske)

UPDATE 1-SAP shares seen open lower after Sybase deal