3Par accepts HP’s ’superior’ $2B offer
Written on August 31, 2010
The board of 3Par Inc. has accepted Hewlett-Packard Co.'s 30-a-share takeover over and notified Dell Inc. that it will rescind its previous sale agreement.
The Fremont data storage company (NYSE:PAR) must wait three days to formally accept HP's (NYSE:HPQ) offer, which is valued at $2 billion. During that time Dell (NASDAQ:HPQ) has the option of matching it.
Dell on Friday morning matched HP's $1.8 billion offer, only to have it topped.
Dell said simply on Saturday that it is assessing the situation, offering no indication of what it intends to do business cards.
In addition to the three-day waiting period, 3Par's agreement with Dell calls for a $72 million breakup fee if a competing offer is accepted.
The bidding started at $18 a share on Aug. 16 when Dell announced that it would buy 3PAR for $1.15 billion, or $18 a share.
For continuing coverage of the bidding war for 3Par click here.
Click here to read the 3Par press release.
Filed in: business.