HP Outbid Tough Opposition in Palm Takeover

Hewlett-Packard has revealed that it had to fight off four other bidders to acquire Palm.

Rumours suggest Palm had approached 16 companies in its search for bidders.

HP and Lenovo surfaced as the two front-runners. Three other companies - thought to be Dell, Huawei and HTC - were said to be looking to purchase Palm patents, including the webOS.

HP had initially offered $1 billion to Palm, while an unspecified rival offered $600 million in cash.

Finally HP emerged victorious after offering $5.70 per share, instantly closing the acquisition deal.

Palm had put itself on the market after failing to revive sales figures that had been hit hard by the popularity of the iPhone and Google's Android mobile phone OS.

HP later announced that it had acquired the company in a $1.2 billion deal.