How seriously does Cisco want to acquire Norwegian video conferencing firm Tandberg? Serious enough to increase its original takeover offer by another $390 million.
"The new offer represents the offeror's final price for this transaction," Cisco said, adding that it will withdraw the offer if it doesn't achieve the desired 90 percent level of acceptance, the Wall Street Journal reports.
In early October, Cisco offered to buy Tandberg for a little under $3.1 billion, which already represented an 11 percent premium to Tandberg's share price. Cisco said it was a "fair price" for the firm and hinted that it might walk away from the deal if not approved, but several minority shareholders disagreed and ultimately rejected the original offer.
It's believed that the new offer will probably be accepted, which already has the support of several bigger shareholders."We continue to believe that Cisco and Tandberg share a vision of changing the way people communicate and collaborate, and that the combination of world-class technologies, Cisco's global scale, and exceptional people from both organizations will enable us to accelerate innovation and market adoption," said Fredrik Halvorsen, Tandberg Chief Executive.