The world's third biggest makers of PC, Dell Inc has agreed to acquire 3PAR Inc. based in Freemont for about one decimal one five billion dollars. Dell will gain equipment and software under this deal which will help the company to increase its corporate data-center business which is growing rapidly
On Monday Dell announced that as per the deal investors of 3 PAR will receive eighteen dollars per share in cash. The price is double the price of nine dollars sixty five cents at which it closed on the thirteenth of August.
3PAR manufactures software and hardware which reduces requirements for data-storage. According to the CEO of 3PAR Mr. David Scott Dell existing storage offerings added with 3PAR's products will create the strongest product line up. According to him other vendors will be facing problems with their limited products.
Dell is a Round Rock, Texas based company eager to compete with companies like Hewlett Packard Co based in Palo Alto. It wants to compete with IBM in creating more complex computer technology and systems services that produce better profits than personal computers like desktop and laptop. In the month of June Dell stated that through the acquisition Dell partly wanted to increase its businesses of technology-services and data-center. It wanted to make it double the existing size.
According to Ashok Kumar, an analyst of New York based Roadman and Renshaw Dell by acquiring 3PAR will have the tools that will help it to increase competition in enterprise technology.
Earlier in 2007 Dell had bought EqualLogic spending one decimal four billion dollars which gave the company its foundation of its data-storage offering. In the last month Dell agreed to purchase Ocarina Networks, a storage company based in San Jose but didn't disclose the price of the purchase. Dell also agreed to buy the Palo Alto based server-computer called Scalnet Systems Inc.
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