Palo Alto, Calif. – Ending a protracted bidding war, HP on
Thursday offered $2.4 billion in cash for storage systems
developer 3Par, besting an offer from rival Dell, which has since pulled out of
the running.
3Par accepted HP’s increased bid of $33 a share over Dell’s
$32-a-share offer, which also included stipulations such as an increased
termination fee of $92 million and a multi-year reseller agreement with fixed
prices.
"The 3Par board of directors has determined that HP’s revised
proposal constitutes a ‘superior proposal,’" said 3Par in a statement.
Dell, meanwhile, said it would not continue its pursuit of the company.
"We took a measured approach throughout the process and have decided to
end these discussions," said Dave Johnson, Dell’s senior vice president of
corporate strategy.
3Par will pay Dell a $72 million termination fee. The deal
is expected to close by year’s end.
Related Links:
http://tinyurl.com/24fbb92
