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eWeek: Sun snaps up Cobalt Networks for $2B

[ Thanks to masterfres for this link.
]

“The all-stock deal calls for each share of Cobalt to be
exchanged for 0.5 shares of Sun stock. … That’s a decent premium
for Cobalt, which closed at 41.13 Monday. Based on Sun’s Monday
closing price of 115.25, the deal gives investors a 40 percent
bump.”

“After the merger, Cobalt, whose server appliances run
on Linux, will become the server appliance business unit of
Sun’s Network Service Provider organization
, reporting to
Executive Vice President John McFarlane.”

“The acquisition will “establish [Sun] in the low-end server
appliances” market
, CEO Ed Zander said in a press
release.”


Complete Story

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