July 7, 2009 (11:15a) - NTAP Status
NTAP yesterday issued very passive and brief statements indicating it will evaluate its options in light of EMC's increased offer and HSR clearance for the proposed EMC-DDUP combination. Since those statements, NTAP has remained silent regarding its deal with DDUP.
Obviously, NTAP does not want to enter a bidding war with EMC that it cannot win. On the other hand, by matching EMC's offer, NTAP could at least force EMC to pay beyond what it would like to pay to acquire DDUP. This appears to be about the only victory NTAP can hope to obtain in this situation now that EMC has firmly established its position.
While it is believed to be more likely that NTAP will concede to the current EMC offer, it is also believed to be within the realm of possibility that NTAP will equal the current offer in order to make EMC again increase its offer for DDUP.
July 6, 2009 - EMC Offer Increased / HSR Early Termination
Moments after the previous update, EMC announced an increase in its offer for DDUP to $33.50 per share, along with a tender offer extension to July 17, 2009
Additionally, EMC has announced HSR clearance via early termination from the FTC.
These two events clearly provide DDUP with the anticipated superior proposal from EMC, effectively rendering the NTAP transaction inferior. Since NTAP lacks the ability to enter a protracted bidding war with EMC, it is highly unlikely that the company will attempt to maintain its merger agreement with DDUP.
July 6, 2009 - Preliminary Proxy Statement Filed (NTAP)
NTAP filed the third amended proxy statement for its merger agreement with DDUP with the SEC on July 2, 2009.
The DDUP shareholder meeting has been scheduled on August 14, 2009. The record date is June 17, 2009.
There is currently little expectation that the DDUP shareholder meeting will proceed on August 14, as EMC is fully expected to submit a superior offer prior to that date. EMC's next offer will likely be in the range of $33-34.
June 29, 2009 - EMC Tender Offer Extended
EMC has extended its tender offer for DDUP until Friday, July 10, 2009.
EMC has not increased its offer above the current $30 per DDUP share as part of the tender offer expiration.
Nevertheless, EMC is fully expected to increase its offer to at least $33 prior to the DDUP special shareholder meeting associated with the NTAP merger transaction.
June 24, 2009 - Preliminary Proxy Statement Filed (NTAP)
NTAP filed the second amended proxy statement for its merger agreement with DDUP with the SEC yesterday (6/23).
The DDUP shareholder meeting date has not been scheduled as of this latest proxy revision.
The current proxy delay will now allow EMC until at least the third week in July to increase its current $30 per DDUP share offer. It is anticipated by this publication that an EMC offer in the area of $33/34 will be made no later than the second week of July.
