HP Tops Dell’s Offer For 3PAR By 33.3 Percent
Let the War for Storage Dominance between two of the industry titans begin!
Hewlett-Packard Co. announced today (Monday August 23, 2010) that they launched a $1.6 billion offer to buy 3PAR Inc. That equates to $24.00 per share in cash, and it represents a whopping 33.3% premium above the price proposed by Dell Inc.
The offer has been approved by the HP board of directors, and if accepted by 3PAR’s board the deal should close by the end of the calendar 2010 year.
Acquiring 3PAR’s products will strengthen HP’s storage division and allow it to further expand its portfolio across key growth markets, the Palo Alto Company said in a press release.
Some consider the HP’s counter offer a “hit under the waist” for Dell Inc. Others believe that it may be a strategic move on Dell’s side, considering the fact that 3PAR has been losing a lot of money for the past five fiscal years.
It will definitely be interesting to see what Dell Inc. does to respond to HP’s lethal blow.
Click here to read the full press release by “BusinessWire”
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