Monday, April 6, 2009

IBM was not able to buy the Sun.

Sun Microsystems Board of Directors rejected the proposal on the purchase of IBM, reported The Wall Street Journal, referring to information from people familiar with the details of the transaction.
According to the data The Wall Street Journal, the board of directors rejected the proposal by IBM Sun on Saturday, the fourth of April. The next day, IBM withdrew its proposal to buy Sun. However, representatives of both companies continue to negotiate.
One of the reasons for collapse of deal between Sun and IBM is that Sun is not arranged for the leaders of the proposed amount for the company. For example, IBM was originally intended to buy the Sun, paying for one share of 10-11 dollars. Then, IBM has proposed per share Sun 9,5 dollar, but to the refusal of Sun - 9,4 dollars.
Another reason for refusal was the lack of Sun firm position IBM in the event of claims against the deal from antitrust authorities. The latter is quite real, as well as IBM and Sun in a segment dominated by Unix-servers, taking up 65 per cent of the market.
For the first time on IBM plans to buy Sun became aware in mid-March. Then, it was reported that the sum of the transaction amount to 6.5 billion dollars. At the end of last week it was reported that IBM will pay Sun for seven billion dollars, and the transaction will be announced shortly.
Representatives of IBM and Sun Microsystems not comment on that information.
According to IDC, IBM controls 31.4 per cent of the market of servers. Companies of HP and Dell took 29.5 and 11.6 per cent of the market respectively. The percentage of Sun Microsystems in the server market was 10.6 percent.

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