Cisco-TANDBERG deal only has 9.37% shareholder acceptance

The Cisco-TANDBERG deal is still up in the air and new numbers show why. Cisco has received acceptance from only 9.37 percent of TANDBERG shareholders which is much less than the required 90 percent they need to acquire the company.

Originally the deadline for the deal was Nov. 9, but since they were so far short of the necessary numbers, Cisco announced that they would extend the deadline. Hinting at withdrawing the offer, Cisco has not stated whether this will be the last deadline extension for the deal.

“Soon after expiration of the extended offer period on Wednesday, November 18, 2009, at 5:30 pm CET, Cisco will announce whether the 90 percent condition for the offer has been met. If not, Cisco will evaluate whether or not to withdraw the offer,” the company said in a statement.

In early October, Cisco Systems launched a bid to buy TANDBERG, the video conferencing equipment manufacturer, for $3 billion. The bid has been blocked though as TANDBERG's minority shareholders--who own just over 24 percent of the video conferencing technology provider--rejected Cisco's $3 billion bid as too small. With less than 10 percent of the TANDBERG shareholders agreeing to the purchase, Cisco has be debating whether it would be prudent just to walk away.

For more:
- read this Network World article

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