Novell can sell off in parts

One of the former giants of the software industry, Novell, is now in a deep crisis, and from the point of view of shareholders, there is only one way out: to sell the business. Fortunately, there is no shortage of potential buyers. Up to 20 companies have already joined the bidding for Novell, reports WSJ (via the link paid content).

In March, Novell rejected an offer of Elliott Associates worth $ 2 billion as "inadequate", and now it chooses among two dozen bidders. According to available information, the Novell management set a deadline at the end of this week, after which a final decision should be made. The winner will be determined at auction.

Novell has four main business areas, each of which may interest competitors. For example, this is Linux and a great technology package for SUSE Linux. The problem is that it is difficult to find a technology company that would be interested in all four areas at once, and there is no point in buying too much. Therefore, according to experts, it is unlikely any technology company will become a Novell buyer. Most likely, it will be a certain private investment fund, like the same Elliott Associates. In this case, Novell will then be sold piece by piece.