Shares of 3PAR Inc. (PAR) surged more than 42 percent in Monday trading after Hewlett-Packard (HPQ) said it offered to acquire the storage-systems provider for $24 a share, or $1.6 billion in cash, topping Dell’s (DELL) offer last Monday of $18 per share.
“HP’s proposal offers superior value to 3PAR’s shareholders. Our global reach, strong routes to market and commitment to innovation uniquely position HP as the ideal fit for 3PAR,” H-P exec VP and general manager Dave Donatelli said in a statement.
3Par shares soared past HP’s offer price, a 33 percent premium over Dell’s offer, suggesting investors expect that another bid, possibly from Dell, could emerge. H-P said that if 3Par’s board approved the deal, it expected the transaction to close by the end of the year.
3Par gained $7.79, or 43.18 percent, to $25.83 at 12:08 p.m. ET in NYSE trading. H-P fell 83 cents, or 2.6 percent, to $39.03.