The New York Times reports
that hedge fund Elliott Associates has made an offer to buy Novell.
"Elliott said it would pay $5.75 a share in cash for Novell, a price
that is 21 percent higher than Novell's closing stock price on
Tuesday. Wall Street's initial response to the bid, announced after the
stock market closed, was to anticipate the possibility of a higher
offer. Novell's shares jumped $1.32, or nearly 28 percent, to $6.07 in
" (Thanks to Jeff Schroeder)
See also: Elliott's press release about the offer. "Over the past several years, the Company has attempted to diversify away from its legacy division with a series of acquisitions and changes in strategic focus that have largely been unsuccessful. As a result, we believe the Company's stock has meaningfully underperformed all relevant indices and peers. With over 33 years of experience in investing in public and private companies and an extensive track record of successfully structuring and executing acquisitions in the technology space, we believe that Elliott is uniquely situated to deliver maximum value to the Company's stockholders on an expedited basis." That suggests some rather significant changes should this deal be accepted.
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