Hedge Fund Offers $2 Billion For Novell

Posted by Soulskill on Wednesday March 3, 2010 @02:38AM from the large-potatoes dept.

CWmike writes "A hedge fund that is already one of Novell's largest shareholders offered on Tuesday to acquire the struggling, cash-rich enterprise software maker for $2 billion. The unsolicited offer, from New York-based Elliot Associates L.P., is for $5.75 per share in cash, a dollar per share more than Novell's closing price Tuesday of $4.75. The offer caused Novell's stock to leap 29% to $6.15 in after-hours trading. Because Novell is so cash-rich — it had $991 million in cash and equivalents at the end of January (PDF) — Elliott says the deal values Novell as an enterprise alone at about $1 billion."

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Re:Already Under Investigation by N3tRunner · 2010-03-03 02:52 · Score: 0, Flamebait

Yeah, the offer isn't ripping anyone off. Novell is worth practically nothing as a company, they don't really have products that anyone is interested in purchasing anymore. Maybe for headhunting purposes their programmers are worth something?
That lawsuit seems way off base though. I've owned Novell stock for years and this buyout is a real blessing.