Equity firm Oak Investment Partners will not increase its bid for ailing CRM software maker Pivotal.
CRM software maker Talisma was also partnering with Oak in the proposed buyout.
Oak general partner Fredric Harman said, "Oak has concluded that there is no financial justification for increasing the price of its proposed acquisition of Pivotal at this time."
Under the agreement with Oak, Pivotal was unable to pursue the CDC bid until Oak had decided whether to match it. Oak had until yesterday to increase the offer.
"Oak maintains a tremendous respect for the Pivotal management team, its employees and the board of directors. We will continue to follow Pivotal's operational progress and developments in the process and may revisit our interest in Pivotal in the future," Harman said.
Marc L Songini writes for Computerworld