Novell Draws Bidding War; Attachmate Offers $2.2 Billion

Business software maker Novell Inc. said Monday it has found a new suitor to take over the company after rejecting a lower offer from a private equity firm earlier this year.

Novell, based in Waltham, Mass., said Attachmate Corp. has agreed to pay about $2.2 billion in cash, or $6.10 per share.

That tops an offer of $5.75 per share that Elliott Associates L.P. made back in March, a bid that valued the company at about $2 billion. Messages left with Elliott Associates were not immediately returned Monday.

The new offer represents a premium of 27 percent over Novell's closing share price of $4.80 on March 1, the day before Elliott Associates made its offer.

Novell shares climbed 37 cents, or 6.6 percent, to $5.96 in morning trading.

Attachmate, based in Seattle, is owned by private equity firms Francisco Partners, Golden Gate Capital and Thoma Bravo.