This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

IBM or HP to Buy Radware: Report

TEL AVIV ( TheStreet) -- Another day, another tech M&A rumor.

The Israeli technology Web site Globes reports that networking specialist Radware (RDWR - Get Report) is in on the block and said talks are already underway with IBM (IBM - Get Report) and Hewlett-Packard (HPQ - Get Report).

Citing unnamed sources, Globes said that the total value of the deal is expected to be $945 million, or $45 a share, representing a 60% premium.

Shares of Radware shot up on Tuesday as investors responded to the M&A chatter. Radware's stock closed up $10.72, or 38.46%, to reach $38.59.

IBM has not yet responded to TheStreet's request for comment on this story. A Radware spokeswoman said that the networking firm does not comment on "rumors and speculation" and an HP spokeswoman also declined to comment.

Radware makes application delivery and network security products, and is one of a number of firms touting technology for tackling potentially debilitating cyber attacks. Competitors include Cisco, Citrix (CTXS) and F5 Networks (FFIV).

The Israeli firm, with its U.S. headquarters in Mahwah, N.J., would certainly make a viable acquisition target, particularly for HP. The tech giant, which is locked in a battle with networking giant Cisco (CSCO), is on an M&A tear and recently snapped up 3Par (PARS) and ArcSight (ARST) for a combined total of almost $4 billion.

IBM would make a less obvious suitor for Radware, although, like HP, the tech bellwether is an existing Radware partner.

Like many tech companies, Radware had to weather a tough economic climate during the recession, but returned to profitability in 2009. Late last year, Radware also picked up Nortel's Alteon switch business and launched the first new version of the technology in half a decade.

Radware's stock has risen more than 155% this year, boosted by strong quarterly results, and, more recently, acquisition chatter.

--Written by James Rogers in New York.

>To follow the writer on Twitter, go to

>To submit a news tip, send an email to:

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
IBM $145.94 0.00%
HPQ $12.27 0.00%
RDWR $10.80 0.00%
AAPL $93.74 0.00%
FB $117.58 0.00%


Chart of I:DJI
DOW 17,773.64 -57.12 -0.32%
S&P 500 2,065.30 -10.51 -0.51%
NASDAQ 4,775.3580 -29.9330 -0.62%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs