The Bidding War For 3PAR Continues; HP Offers $2 Billion In Cash

Here we go again-again. HP just offered $2 billion, or $30 per share in cash for data storage company 3PAR. This morning, Dell announced that 3PAR had accepted its increased offer to acquire the storage leader for $27 per share in cash, or approximately $1.8 billion.

Dell had previously signed an agreement to acquire 3PAR for $18 per share or $1.13 billion, with a provision for matching competing bids. HP then effectively outbid the company and offered $1.6 billion, but Dell matched that offer yesterday, after which HP made a renewed bid for $1.8 billion.

This latest offer nearly doubles Dell’s original bid for 3PAR, which was high to begin with. 3PAR provides a virtualized utility storage platform that enables customers to significant drive down cloud computing infrastructure, storage and associated management costs.

3PAR clearly must be flattered by this dramatic turn of events; $2 billion is no small sum. And HP is starting to make it very clear that whatever Dell offers, it will offer more. So, when will this end? Will 3PAR be able get to $3 billion?