The Register: Inprise to investigate ‘fairness’ of Corel takeover

[ Thanks to Godi for this link.
]

“A sign of cold feet? Inprise today admitted it has asked
investment bank Broadview to see whether the terms of its takeover
by Corel need to be renegotiated.”

“Presumably if Broadview concludes the deal is unfair, Inprise
and Corel will have to renegotiate. And if Corel’s dire
pronouncements that it could suffer a cash-flow crisis if the
merger doesn’t go ahead have anything to them, Inprise will find
itself in a much stronger negotiating role.”

“Of course, Inprise is being sued by a gang of shareholders
who feel the original deal undervalues their shares, so the
Broadview plan could be as much about pacifying them as winning
better terms from Corel – just as Corel’s cash-flow warning could
be simply a manoeuvre to get its own shareholders behind the
deal.”

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