Dell Concedes As HP Wins 3Par Bidding War
Dell has thrown in the towel, after HP upped its bid for utility storage provider 3PAR with all-cash bid of $33 (£21.44) per share
All this bidding was for a company with a market cap of $1.63 billion (£1.05 billion) and whose stock was selling at $9.65 (£6.27) on Friday, 13 August – the last day of trading before Dell made its first acquisition announcement on Monday, 16 August.
3PAR was selling at $32.83 (£21.33) on Sept. 2 and has been above $30 (£19.49) for most of the last week.
Why The Interest?
But why is 3PAR such a wanted company?
3PAR is considered a prime asset primarily for three reasons:
- Its clustered, utility-type architecture is tailor-made for cloud systems that deliver software as a service, and cloud storage systems are in high demand at this time.
- 3PAR began shipping its own brand of autonomic storage tiering, called Adaptive Optimisation. The process actually prevents common storage bottlenecks from happening in the first place through a combination of business and operational intelligence, gained by a constant collection of data. 3PAR’s version anticipates data blockages and solves them before they happen. 3PAR Adaptive Optimisation follows this concept to enable high-end-type storage systems to achieve an efficient distribution of data over the application life cycle, without needing intervention by an administrator, the company says.
- The company is available for sale. Others that address the exact market as 3PAR are not available, Dell said.
