Saturday, 1 August 2015
Last updated 1 day ago
Feb 20 2013 | 1:48pm ET
After losing its first bid to buy Compuware, Elliott Management has agreed not to try again before May 15 while it pores over the Detroit-based software firm's books.
The “standstill” pact, as reported in the Detroit Free Press, is part of a nondisclosure agreement with Compuware that will bar the hedge fund from revealing any non-public information discovered during its examination of the books and from buying more than 9.9% of Compuware before mid-May.
On January 25, Compuware's board of directors rejected Elliott's unsolicited first offer of $2.3 billion, or $11 per share. At the time, Compuware chief executive Bob Paul said that "selling the company at $11 per share does not take into account our progress returning the business to profitable growth and our future prospects.”
He also, however, said the firm would entertain future bids--including bids by Elliott.
Elliott, with 8.7%, is Compuware's second-biggest shareholder after the mutual fund Dodge & Cox.
May 27 2015 | 2:15pm ET
Support Hedge Funds Care, also known as Help For Children (HFC), by participating in this year's raffle. All proceeds go to support HFC's mission of preventing and treating child abuse. Read more…