3Par/Dell/HP
On September 2, 2010, 3Par (NYSE: PAR) agreed to be acquired by Hewlett Packard Co. (NYSE: HPQ) for $33 per share, or $2.4 billion, after an feverish bidding war with Dell (Nasdaq: DELL).
Bidding for 3Par started on August 16, when Dell announced an agreement to acquire the company for $18 per share, which was a hefty premium to the prior day's close of $9.65.
A week after that initial bid, HP raised the stakes by offering $24 per share or $1.5 billion. Dell then raised its bid to $24.30.
The back and forth continued until it reached a crescendo after Dell's last $32 offer was topped by the final HP bid of $33. Dell wouldn't offer more and decided to back off.
The two companies have made sophisticated PCs affordable through price wars in recent years, but the cost of parts has risen and profits have shrunk. The companies see previously little known 3Par as a tool to improving their "cloud computing" businesses, as more companies are moving to in to the cloud rather than buying their own servers.
HP said that it expects the deal to close by the end of the fourth quarter.
Bidding for 3Par started on August 16, when Dell announced an agreement to acquire the company for $18 per share, which was a hefty premium to the prior day's close of $9.65.
A week after that initial bid, HP raised the stakes by offering $24 per share or $1.5 billion. Dell then raised its bid to $24.30.
The back and forth continued until it reached a crescendo after Dell's last $32 offer was topped by the final HP bid of $33. Dell wouldn't offer more and decided to back off.
The two companies have made sophisticated PCs affordable through price wars in recent years, but the cost of parts has risen and profits have shrunk. The companies see previously little known 3Par as a tool to improving their "cloud computing" businesses, as more companies are moving to in to the cloud rather than buying their own servers.
HP said that it expects the deal to close by the end of the fourth quarter.
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Wall Street Hubbub 9/2: Rumor Mill In Overdrive On M&A Frenzy
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Notable 52-Week High's and Low's of the Day 09/02: PAR, AKAM, SPRD, MRX High; HERO, PSS Low
