Print
Email
Print Edition Stories
MHT's Rodney Brown: App developers see opportunity in new iPhone
MHT's Efrain Viscarolasaga: Tech companies may have to wait for stimulus funds
Google's Summer of Code
Data storage giant EMC Corp. has won a heated bidding war for Data Domain with a $2.1 billion all-cash offer, according to a regulatory filing Wednesday.
The announcement ends a month-long battle between Hopkinton-based EMC (NYSE: EMC) and California-based NetApp Inc. (Nasdaq: NAPP).
Earlier this week, EMC increased its offer to acquire all the outstanding common stock of Data Domain to $33.50 per share in cash, or about $2.1 billion, up from its previous $1.8 billion offer.
The new offer price came after weeks of EMC stating to the board of directors and shareholders of California-based Data Domain (Nasdaq: DDUP) that its all-cash offer was better than the $1.9 billion stock-and-cash proposal previously put forth by NetApp.
To sweeten its latest offer, EMC removed all deal protection provisions from the proposal. According to officials, EMC also made clear its ability and willingness to close the transaction within two weeks, nearly a month faster than the NetApp proposal. The U.S. Federal Trade Commission had already granted EMC early termination of the antitrust waiting period, officials said.
The back-and-forth bidding started roughly a month ago when EMC chairman, president and CEO Joseph Tucci sent a letter to Data Domain president and CEO Frank Slootman expressing disappointment at not receiving early notice of a possible sale to NetApp. Soon thereafter, EMC offered its own bid, 20 percent higher than NetApp’s original offer. NetApp responded with a higher counter offer.
EMC reported a profit for 2008 of $1.3 billion on revenue of $14.8 billion.
Comments
If you are commenting using a Facebook account, your profile information may be displayed with your comment depending on your privacy settings. By leaving the 'Post to Facebook' box selected, your comment will be published to your Facebook profile in addition to the space below.
RSS Feeds
