Computer maker Dell on Thursday said its higher acquisition offer of $24.30 per share has been accepted by 3PAR, surpassing the competing bid from rival HP.
The battle for 3PAR, a global storage solutions provider, erupted after Dell's initial takeover bid of $18 per share was met with a higher offer of $24 per piece by HP.
"3PAR has accepted its (Dell) increased offer to acquire the storage leader for $24.30 per share in cash, or approximately $1.6 billion, net of 3PAR's cash," Dell said in a statement.
A leading provider of storage solutions, 3PAR offers services and products with advanced data management features for different cloud-computing environments.
On August 16, Dell had announced that it would buy 3PAR for $18 per share, valuing the company at $1.15 billion.
The agreement between Dell and 3PAR had a provision for matching competing bids. However, on August 23, HP came out with a higher offer for 3PAR, estimating the entity to be worth about $ 1.5 billion.
According to the statement, Dell and 3PAR have signed an amendment to the agreement reflecting the new offer price. The transaction is expected to be complete before the end of this year.
Once the deal is over, 3PAR would become a wholly-owned subsidiary of Dell. "With the 3PAR acquisition, Dell will have the broadest set of differentiated storage solutions in the market today," Dell Senior Vice-President (Corporate Strategy) Dave Johnson said.
The cash tender offer through a wholly-owned Dell subsidiary is for all outstanding shares of 3PAR common stock.
