The board of McAfee.com has accepted an improved bid from Network Associates (NAI), for the 25% of McAfee.com it doesn’t already own. The improved offer of cash and NAI shares is worth $17.86 per share, an 81% increase over the company’s original offer in March.
An earlier offer in April was also approved by McAfee.com’s board but was rejected by shareholders following the announcement of an investigation into NAI’s accounting practices. NAI re-launched its bid after filing restated financial results for the years 1998-2000 with the SEC.
Network Associates wants to make McAfee its wholly owned subsidiary in order to avoid current market confusion over its product offerings. The company spun off McAfee in 1999 but retained the McAfee name for some of its divisions and products, which has lead to confusion among stakeholders.