Dell buys data-storage company

By Julianne Pepitone, staff reporter

NEW YORK ( -- Dell Inc. said Monday it has agreed to acquire data-storage company 3PAR for $1.15 billion, a move the computer maker says could cut its data management costs by 50%.

Dell (DELL, Fortune 500) said Monday it will begin a tender offer to buy all of the outstanding common stock of 3PAR for $18 a share in cash. The price is an 86.5% premium to 3PAR's closing price Friday of $9.65.

Shares of Fremont, Calif.-based 3PAR (PAR) shot up more than 85% in premarket trading to $17.89. Dell shares were flat.

"We have aligned our storage offerings over the last several years to provide our customers choice and value," said Brad Anderson, senior vice president of Dell's enterprise product group.

The 3PAR purchase came after Dell's 2008 acquisition of data-storage company Equal Logic and a continued partnership with storage network firm EMC.

Dell said the purchase of 3PAR should add to earnings in its fiscal year ending in January 2012.  To top of page

Index Last Change % Change
Dow 23,957.89 -724.42 -2.93%
Nasdaq 7,166.68 -178.61 -2.43%
S&P 500 2,643.69 -68.24 -2.52%
Treasuries 2.83 0.00 0.00%
Data as of 7:19am ET
Company Price Change % Change
Merck & Co Inc 54.12 -0.57 -1.04%
Kroger Co 23.39 -0.06 -0.26%
Halliburton Co 46.38 -0.73 -1.55%
ConocoPhillips 56.50 -0.54 -0.95%
Hewlett Packard Ente... 18.32 -0.39 -2.08%
Data as of Mar 22


General Electric is seriously strapped for cash. If only former CEO Jeff Immelt didn't go on a $24 billion spending spree in 2016 and 2017 to buy back GE stock at what turned out to be extremely elevated levels. More

The Trump administration released a report saying health insurers are profiting from Obamacare, pointing to robust stock price gains. The truth is a little more nuanced. More

The United States has long said that intellectual property theft has cost the U.S. economy billions of dollars in revenue and thousands of jobs. More