WSJ – Elliott Associates LP, a hedge fund that holds an 8.5% stake in Novell Inc., offered to buy the rest of the software company for about $1.8 billion.
Novell shares, which were off 1% in 4 p.m. trading, surged 30% in late trading to $6.15, above the $5.75 offer price Elliott disclosed in a letter to Novell’s board.
Elliott said in its letter it believes Novell’s stock has “meaningfully underperformed all relevant indices and peers” as it attempted to diversify away from its original business with a string of acquisitions and changes in focus “that have largely been unsuccessful.”
