Dell tops HP's bid for 3PAR

 

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By Reuters

Posted on 26 Aug 2010 at 15:53

Dell raised its bid for data storage company 3PAR to $1.6 billion, offering a slightly higher price than rival bidder HP.

Dell's latest offer comes in at $24.30 a share, which is 30 cents a share above HP's bid, and well above its first $18 a share offer. Dell said that 3PAR's board had accepted the deal.

A recent survey by Reuters of nine fund managers and analysts found that most expect another bid or two, and a final price of about $29 per share.

HP was not immediately available to comment on the revised Dell bid for 3PAR.

Bidding wars are rare in the tightly-knit technology sector, where deals are often made behind closed doors.

In the last notable bidding war in the tech industry, EMC outbid NetApp last year to buy Data Domain for $2.4 billion. Data Domain was advised in that deal by Frank Quattrone, the same veteran technology banker who is advising 3PAR in the latest negotiations.