Novell gets a Buyout Offer, Attracts more Buyers
By on March 3rd, 2010

Novell the company behind Suse Linux has recently received an unsolicited buyout offer from Elliott Associates, a hedge fund. The offer states the value of Novell at $1.8 billion. The Wall street Journal wrote,

Elliott Associates LP, a hedge fund that holds an 8.5% stake in Novell Inc., offered to buy the rest of the software company for about $1.8 billion.

This report has sparked up some recent changes. Some believe that the company will have Microsoft amongst prospective buyers besides HP, SAP Oracle and IBM. This has caused prices of Novell shares to drop by 26 percent. The offer to buy the company for $5.57 per share in cash, and investors are sure of the buyout happening.

Novell has been the center of attraction for buyout rumors from 1990. The services and software offered by Novell are largely varied and have become popular over time. At the current scenario, dropping prices means that investors can see a huge risk factor involved in sticking to Novell any further. Also, the response to the buyout news this time is indicative of a good chance of the buyout actually happening. Thevarguy has listed all the possible buyers and their relations with Novell. The only question here is that what happens to Suse Linux then?

Tags: ,
Author: Chinmoy Kanjilal Google Profile for Chinmoy Kanjilal
Chinmoy Kanjilal is a FOSS enthusiast and evangelist. He is passionate about Android. Security exploits turn him on and he loves to tinker with computer networks. He rants occasionally at Techarraz.com. You can connect with him on Twitter @ckandroid.

Chinmoy Kanjilal has written and can be contacted at chinmoy@techie-buzz.com.

Leave a Reply

Name (required)

Website (optional)

 
 
Copyright 2006-2012 Techie Buzz. All Rights Reserved. Our content may not be reproduced on other websites. Content Delivery by MaxCDN