Enterprise software maker Novell has announced that the company will be acquired by Attachmate for $2.2 billion.
Attachmate, a company owned by investment firms Francisco Partners, Golden Gate Capital and Thoma Bravo, has agreed to acquire Novell for $6.10 per share, which is 9 per cent higher than Novell's closing price on Friday.
Novell president and chief executive Ron Hovsepian, said in a statement: “We are pleased that these transactions appropriately recognize the value of Novell's relationships, technology and solutions, while providing our stockholders with an attractive cash premium for their investment.”
The company has also decided to sell an unspecified amount of intellectual property to CPTN Holdings, a technology consortium led by software giant Microsoft, for $450 million in cash.
Novell initially rejected an offer made by investment fund Elliot Associates for $5.75 per share, much to the frustration of investors. The company expected to close the acquisition deal with Attachmate in the first quarter of 2011.