Cisco playing chicken with Tandberg?
Cisco is now giving Tandberg shareholders another 9 days, until November 18th to accept (or decline), a $3 billion takeover bid.
When Cisco made its bid on Oct 1st for Tandberg, execs on both sides of the table were all smiles (at least it looked that way over TelePresence/webcast). Cisco's offer is a decent 38 percent premium over the value of Tandberg's shares prior to the effort, yet some Tandberg shareholders want more.
They're not going to get more. Instead they've got a take it or leave it offer on the table.
During Cisco's first quarter fiscal 2010 investor conference call last week, CEO John Chambers made his position clear.
"I believe that we will get this transaction closed," Chambers said.
"But at the same time, as you also know, that we have already walked
away from a couple of deals this year where we could not get the right
If Tandberg shareholders do manage to scuttle the deal, I'd wager that Tandberg's business will suffer.