Thursday, March 11, 2010

Elliott's purchase and sell of Novell

Would this be the best thing for SUSE and Novell? As a former Novell employee, this may save SUSE and Novell or at least the technology. Here is one paragraph of an intelligent commentary by Andy Updegrove.

© Copyright 2010 Michael Rybin, All Rights Reserved.

"The net result is that what happens next will be fascinating to watch. I expect that there will be a great deal of activity behind the scenes as well as in plain view. Want an example of a behind the scenes possibility? An IBM, an Oracle or an SAP wouldn't have to buy Novell outright to remove Novell's Linux distro from the risk category - they could simply approach Elliot even before the sale, and arrange to buy it simultaneous with the close of the purchase of the Novell shares by Elliott. Between the near-$1 billion in Novell's account and the proceeds of such a sale, Elliott would be buying the rest of Novell for pennies on the dollar."

For the full article go to Elliott Associates and Novell: All About a Game of Cat and Mouse