EMC In Bidding War
EMC Corp. may end up in a tussle to acquire California-based Data Domain Inc.
The Hopkinton-based data storage company offered $1.8 billion in cash for Data Domain on the heels of an offer by NetApp Inc. to buy the company for $1.5 billion in cash and stock, according to EMC officials. NetApp, a California-based data storage company, upped its offer to $1.9 billion in a cash and stock offer.
Data Domain makes products that help users get rid of redundant computer files, which makes more memory available.
EMC claimed that its all-cash offer is superior to NetApp’s original offer for Data Domain. It also said it would tap its existing cash reserves to buy the company and would not need to finance the deal.
EMC said it wants to acquire Data Domain’s fast-growing revenue base, its strong data protection-focused management team and sales force and its technology which is complementary to EMC’s data storage technology.
EMC had made Data Domain aware of its interest before the NetApp proposal.This is the second company in two weeks that EMC has proposed to acquire. Last week it announced it would buy privately held Configuresoft Inc. of Colorado for an undisclosed amount
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