Wednesday 17:46 pmHello, new archrival. H-P (HPQ) puts a bow on its growing conflict with Cisco Systems (CSCO) by acquiring 3Com (COMS) on the cheap. Therese Poletti noted last month (while speculating about an H-P/Brocade (BRCD) tie-up) how former partners H-P and Cisco have gotten increasingly unfriendly, with Cisco making servers and H-P reinvesting in networking and even video-conferencing; your move, Cisco. (WSJ Digits liveblogs H-P call)
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Wednesday 17:30 pmWall Street notices today's unusual rush in volume on 3Com (COMS) call options (highest since September 2007) before the after-hours announcement of the company's acquisition by Hewlett-Packard (HPQ). OptionMonster has a picture of November calls going for $0.65 at 11 a.m. today that should go to $2.90 tomorrow - 350%, nice work for a day.
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Wednesday 16:46 pm Shares in 3Com (COMS) resume trading, up 35% on news of Hewlett-Packard's (HPQ) agreement to pay $2.7B in cash for the network gear maker. The deal, approved by both boards, is expected to close in the first half of 2010. Update 5:00 p.m.: [[HPQ]] -0.5% AH. Brocade (BRCD) - the last independent networking company - down 7% AH as it's passed over for acquisition.
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