Armonk (NY) – The AP is reporting that IBM is in the final stages of negotiations with Sum Microsystems, even stating a deal could be announced within days — though the purchase price may be 10% or more below what was originally thought.
It’s being reported that the companies are “haggling over price”, and that the specific details of the agreement are being finalized, though it is presently being reported IBM will pay between $9 and $10 per share for the acquisition, when earlier reports believed it was $10 to $11 per share.
Since the initial reports of IBM’s interest in Sun Microsystems, Sun has agreed to lay off an additional 1500 workers, something that is believed by many to have been a capitulation by Sun to an IBM request — though this has not been confirmed. IBM had previously announced that it would lay off a substantial number of its employees over the next few months, with possibly in excess of 4,600 already let go.
See the original AP Digital article republished on Yahoo Finance.