EMC, Isilon Acquisition Talk CoolsBy Reuters | Posted 2010-11-05 Email Print
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Price is the issue that is putting the kibosh on the acquisition talks between EMC and Isilon, according to a news report.
NEW YORK, Nov 4 (Reuters) - Shares of data storage company Isilon Systems (NASDAQ:ISLN) fell 7.4 percent on Thursday after a Wall Street Journal report said EMC Corp's (NYSE:EMC) interest in a takeover deal had cooled.
The two parties have not been able to agree on price, the Journal reported on its website, citing unnamed sources. The paper added that a deal was still possible, although it did not look likely at the moment.
Last month sources told Reuters that Frank Quattrone's investment bank, Qatalyst Partners, was working with Isilon.
Isilon was trying to determine where it fits following Hewlett Packard's acquisition of 3Par and EMC's deal for Data Domain, a source said at that time.
EMC, Dell and Oracle were seen as possible bidders for Isilon, but Isilon was seen as expensive, the sources said at the time.
EMC declined to comment. Isilon was not immediately available for comment.
Isilon shares fell $2.09 to close at $26.07 on the Nasdaq. (Reporting by Paritosh Bansal; Editing by Steve Orlofsky)