HP Acquires 3Com for $2.7 billion - But Some Fishy Trades
Hewlett-Packard said it agreed to acquire 3Com for $2.7bn or $2.70 a share. It represents a 40% premium.
The acquisition is part of HP's efforts to boost its data center strategy.
Sramana Mitra writes:
She says that 3Com has executed a very good turnaround. She predicts that Cisco's margins will suffer because of increased competition from HP and others.
The deal should be completed in the first half of 2010.
Dan Primack, writing at PEHub reports that there are signs of some unusual trading activity in 3Com shares.