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| Should Novell Go Private? |
| 摘自: blog.internetnews.com 被阅读次数: 1086 |
由 yangyi 于 2010-03-11 22:30:11 提供 |
Novell is now in play. The company received what they call an "unsolicited proposal from Elliott Associates, L.P. to acquire the Company for $5.75 per share in cash," which values the company at just under $2 billion. In layman terms it basically means Novell is for sale and could be taken private by institutional stock holder/Hedge Fund Elliot Associates. In my personal opinion it's likely a good deal for Novell and its shareholders. Novell has struggled this past year (but then again who hasn't?) and just recently re-organized their business around the idea of being an intelligent workload management vendor. It's an interesting idea but frankly I don't think it values all of Novell's assets properly. The idea of a big architectural play to handle all types of workloads is a neat idea but I just don't think that's the practical reality in most enterprises today. The quarterly pressure of meeting revenue targets that a public company has just doesn't match with Novell's strategy which is more of a medium term approach in my view. Novell's intelligent workload management strategy will not deliver the short term quarterly gains that the public markets demand. As a private company Novell will not be subject to the same quarterly scrutiny and will have more room to develop its strategy. Whether or not that strategy is a winner or loser remains to be seen. The other issue with this unsolicited bid is it means that now other bidders could emerge to try and take Novell. I suspect that given Novell's current financial status at least one or two other bidders (IT vendor or funds) might emerge to pick up some strategic assets. In the short term, uncertainty over Novell's ownership position might cause some market movement as rivals (likely Red Hat) will likely be quick to note that they have had better financial success. Red Hat however doesn't have the legacy businesses that Novell has tried to bring into the modern era. I don't know if Novell's board will accept the offer or not, but we do know they have to consider it. Being a public company is not the best route for everyone and we'll soon find out if it's the right path for Novell. Original link: http://blog.internetnews.com/ske... |
