After a bit of tap dancing, HP revealed that today’s $1.6 billion blockbuster bid for 3PAR was not its first.
HP published its offer letter today in which executive vice president, chief strategy and technology officer Shane Robinson wrote:
“We propose to increase our offer to acquire all of 3PAR outstanding common stock to $24.00 per share in cash. This offer represents a 33.3% premium to Dell’s offer price and is a “Superior Proposal” as defined in your merger agreement with Dell.”
In a conference call with media and analysts, Dave Donatelli, executive vice president and general manager of HP’s Enterprise Server, Networking and Storage Business, said HP had “done due diligence on this deal prior to anything you’ve seen announced publicly” and “had multiple meetings with [3PAR’s] senior management.”
Finally, when asked whether HP had an outstanding offer on the table when Dell made its move for 3PAR, HP’s Steve Fieler, vice president, investor relations, admitted that there was “another offer on the table.”
Donatelli also said he expects HP’s relationship with Hitachi would continue. “There is always going to be overlap in storage solutions. That’s been happening for the past 20 years and I don’t have any concerns about it. I actually view that as a positive because it makes sure you have a seamless offering and that you don’t have any competitive gaps.”
He also said HP “looks forward to the response” from Dell.
Dell declined to comment on HP’s counteroffer.
For the full story on the HP-3PAR-Dell triangle, see “HP, Dell in Bidding War for 3PAR.”
You can hear a replay of the conference call/webcast on HP’s website.
posted by: Kevin Komiega