PeopleSoft ( PSFT) reportedly is preparing to reject Oracle's ( ORCL) $19.50-a-share takeover offer.

PeopleSoft executives are worried that a potential transaction wouldn't survive antitrust muster and would cause a problematically long regulatory review, people familiar with the deal told The Washington Post.

Earlier this week, Oracle raised its bid for PeopleSoft to $6.3 billion, or $19.50 a share, saying discussions with the company's institutional shareholders suggested that was a price at which they were willing to sell.

PeopleSoft began its own $1.75 billion tender for J.D. Edwards ( JDEC) Thursday.

If you liked this article you might like

Spain to Play Netherlands for World Cup

Spain to Play Netherlands for World Cup

Wal-Mart: Analysts' Upgrades, Downgrades

Wal-Mart: Analysts' Upgrades, Downgrades

Netherlands Advances to World Cup Final

Netherlands Advances to World Cup Final

Apple: Analysts' Upgrades, Downgrades

Apple: Analysts' Upgrades, Downgrades

World Markets Mostly Lower Monday

World Markets Mostly Lower Monday