ADIC takeover bid rejected

Overland Storage has rejected a take-over bid by rival storage vendor ADIC

Overland Storage has rejected a take-over bid by rival storage vendor ADIC. Last week Overland received an “unsolicited letter” from ADIC proposing an acquisition of all of its outstanding stock at $7.90 per share.

However Overland has rejected the offer on the grounds of “shareholder interests”.

In response to ADIC’s letter, Overland said it is “not interested in engaging in a dialogue regarding sale of the company”.

In a filing with the US Securities and Exchanges Commission (SEC), Peter van Oppen, chief executive of ADIC, said: “We continue to believe that a combination of ADIC and Overland would be of significant benefit to our respective shareholders.”

In August CRN reported that ADIC was rumoured to be organising an acquisition of Overland following its 9.3 per cent stock purchase, as revealed in an earlier ADIC SEC filing (CRN, 29 August).