Andy Updegrove looks
at the next steps in Elliott Associates' bid for Novell. He looks at what
a tender offer is, what Elliott's and the Novell board's strategy may be
going forward, and what other bidders might bring to the table.
"There are two things to watch for at this point: the first is
whether Novell's board decides to enter into negotiations with Elliott, or
to rebuff the offer (you saw Microsoft and Yahoo go through this dance not
so long ago). And the second is whether other bidders enter the scene.
Such a bidder could be solicited by Novell's management and board (a 'White
Knight'), because they don't like the looks of the Elliott bid and what may
come afterwards, or there could be further unsolicited bids.
to post comments)