NetApp May Be Taken Over For Losing Bidding War Against EMC
Last week a winner emerged for the bidding war of Data Domain Inc. EMC agreed to buy Data Domain for $33.50 per share which ended a bidding war with NetApp. Data Domain paid a $57 million termination fee under the tems of agreement with NetApp after they cancelled a merger deal.
Through the acquisition, EMC will be challenging Hewlett-Packard. Hewlett-Packard may even make an offer to buy out NetApp, the loser of the bidding war. NetApp said that they gave up on Data Domain because they would not be able to justify the escalated bid to shareholders.
The total amount for EMC’s acquisition was $2.1 billion in cash. NetApp went as high as $1.9 billion.