Feeds

Previous HP bid for 3PAR rejected

HP goes hostile

Internet Security Threat Report 2014

In a webcast discussing HP's bid for 3PAR today, HP said it had made a previous offer for the company which had, instead, accepted a Dell offer.

HP's David Donatelli, head of its Enterprise Servers, Storage and Networks division, said that HP had run due diligence on 3PAR before any publicity about a 3PAR acquisition and that there was an HP offer on the table when the Dell bid was agreed.

This means that 3PAR's leadership rejected it, preferring the Dell bid and, indeed, agreeing the Dell bid. By the point that 3PAR agreed to go with Dell any further HP bid must have been sought and not found, HP refusing to modify its then outstanding offer, or not been sought.

In either case 3PAR effectively rejected HP. Now HP has come back with a public offer, more or less telling the 3PAR board to think again. It's letter stated: "We propose to increase our offer to acquire all of 3PAR outstanding common stock to $24.00 per share in cash," indicating that, at first glance, the outstanding offer was for less than Dell's $18/share. But suppose that was not the case.

Our thinking is that Dell promised 3PAR arms-length management as a more or less independent entity inside Dell, similar to the acquired EqualLogic operation. Both Dell and 3PAR were happy with the bid.

Donatelli said in the webcast that 3PAR was an excellent fit with HP, being located nearby in Silicon Valley, and that it could quickly be integrated and grow inside HP. He would not answer a question about how3PAR would be managed inside HP, saying it was too soon to say.

Our reading of this is that 3PAR inside HP would be surrounded by a close HP embrace and not run as a semi-independent entity like EqualLogic.

It looks from here as if HP has made a hostile and unwanted bid for 3PAR and that 3PAR will be quite anxious for a re-bid from Dell to take place, although, in their heart of hearts it must fear that Donatelli's pockets are deeper than Michael Dell's. ®

Top 5 reasons to deploy VMware with Tegile

More from The Register

next story
Docker's app containers are coming to Windows Server, says Microsoft
MS chases app deployment speeds already enjoyed by Linux devs
'Hmm, why CAN'T I run a water pipe through that rack of media servers?'
Leaving Las Vegas for Armenia kludging and Dubai dune bashing
SDI wars: WTF is software defined infrastructure?
This time we play for ALL the marbles
'Urika': Cray unveils new 1,500-core big data crunching monster
6TB of DRAM, 38TB of SSD flash and 120TB of disk storage
Facebook slurps 'paste sites' for STOLEN passwords, sprinkles on hash and salt
Zuck's ad empire DOESN'T see details in plain text. Phew!
Windows 10: Forget Cloudobile, put Security and Privacy First
But - dammit - It would be insane to say 'don't collect, because NSA'
Oracle hires former SAP exec for cloudy push
'We know Larry said cloud was gibberish, and insane, and idiotic, but...'
Symantec backs out of Backup Exec: Plans to can appliance in Jan
Will still provide support to existing customers
prev story

Whitepapers

Forging a new future with identity relationship management
Learn about ForgeRock's next generation IRM platform and how it is designed to empower CEOS's and enterprises to engage with consumers.
Win a year’s supply of chocolate
There is no techie angle to this competition so we're not going to pretend there is, but everyone loves chocolate so who cares.
Why cloud backup?
Combining the latest advancements in disk-based backup with secure, integrated, cloud technologies offer organizations fast and assured recovery of their critical enterprise data.
High Performance for All
While HPC is not new, it has traditionally been seen as a specialist area – is it now geared up to meet more mainstream requirements?
Saudi Petroleum chooses Tegile storage solution
A storage solution that addresses company growth and performance for business-critical applications of caseware archive and search along with other key operational systems.