Craig-Hallum: Rimini Street's Litigation Agreement Sets Company Up for Growth

Rimini Street (RMNI) has reached a standstill agreement with Oracle (ORCL) to end all litigation, likely saving RMNI $7M in external legal costs per year and allowing it to focus on its business. Craig-Hallum maintains a Buy rating and $7 price target for RMNI, citing its dominant position in third-party support and large total addressable market. Despite the pending exit of PeopleSoft, which accounts for 7% of RMNI's revenue, Craig-Hallum believes the company can resume sales growth.

Title: Rimini Street and Oracle Reach Settlement Agreement, Ending Longstanding Litigation

Rimini Street (NASDAQ: RMNI) experienced a significant surge in its stock price on Thursday, following the announcement of a settlement agreement with Oracle (NYSE: ORCL) that resolves their long-running copyright dispute. The company's shares jumped as much as 24% after the agreement was reached [1].

Under the terms of the settlement, Oracle will return approximately $37.8 million to Rimini Street, effectively reducing the company's legal costs. The agreement also includes a "Litigation Standstill" provision, preventing both parties from initiating new legal proceedings against each other during the wind-down period [2].

The settlement is expected to have a positive impact on Rimini Street's financial performance. The company has been navigating a challenging legal landscape, with the Oracle dispute weighing on its operations and investor sentiment. The resolution of this litigation allows Rimini Street to focus on its core business and potentially resume sales growth [3].

Investment analysts have reacted positively to the news. Craig-Hallum maintains a Buy rating for Rimini Street, with a $7 price target, citing the company's dominant position in third-party support and large total addressable market. Despite the pending exit of PeopleSoft, which accounts for 7% of RMNI's revenue, Craig-Hallum believes the company can resume sales growth [4].

The settlement agreement comes at a critical juncture for Rimini Street as it prepares to report its Q2 2025 earnings. The company's financial trajectory has been overshadowed by its decade-long legal battle with Oracle, but recent developments suggest a path toward stabilization. Investors should scrutinize the upcoming earnings report to assess the impact of the settlement on Rimini Street's financial metrics [3].

In summary, the settlement agreement between Rimini Street and Oracle marks a significant milestone in resolving the longstanding litigation. This development is likely to have a positive impact on Rimini Street's financial performance and investor sentiment. As the company prepares to report its Q2 2025 earnings, investors will be closely watching to see how the settlement agreement translates into improved financial results.

References:
[1] https://seekingalpha.com/news/4466541-rimini-street-surges-24-after-settling-copyright-dispute-with-oracle
[2] https://www.investing.com/news/stock-market-news/rimini-street-stock-soars-after-oracle-settlement-agreement-93CH-4130599
[3] https://www.ainvest.com/news/rimini-street-q2-2025-earnings-navigating-legal-headwinds-financial-resilience-2507/
[4] https://www.investing.com/news/stock-market-news/rimini-street-stock-soars-after-oracle-settlement-agreement-93CH-4130599