Pleasanton, Calif.--Software company PeopleSoft Inc. announced an agreement to acquire J.D. Edwards & Co. in a deal worth about $1.7 billion. The combined companies have approximately $2.8 billion in annual revenues. Under the agreement, which has been approved by both boards, J.D. Edwards will become a wholly owned subsidiary of PeopleSoft, and J.D. Edwards stockholders will own approximately 25% of the outstanding capital stock of the combined entity.