After a flurry of bids for 3PAR late last week, Hewlett-Packard and Dell took the weekend off but 3PAR had something to say about its fate.
3PAR Friday night issued a statement saying its board determined HP’s $30 per share $(2 billion total) offer made that morning was a superior proposal to Dell’s most recent offer, and it notified Dell that it would terminate its merger agreement after three business days. Dell still has the right to match the HP offer to extend the merger agreement.
Dell’s latest bid was $1.8 billion Friday morning, which HP promptly raised to $2 billion. That brought the number of bids last week to five from Dell and HP, and the $2 billion offer was the sixth for 3PAR in two weeks.
With HP’s latest offer representing a 211% premium to 3PAR’s stock price before Dell made its first offer of $1.15 billion Aug. 16, we don’t expect many more bids for 3PAR. The battle should be winding down, and we look forward to a winner emerging this week. It could happen by tomorrow if Dell declines to increase its bid.