Microsoft and Nvidia have an agreement in place that spells out terms relating to a possible acquisition of the graphics and mobile processor manufacturer, regulatory documents indicate.
The deal gives Microsoft the exclusive right to match any offer for 30% or more of Nvidia's outstanding shares by a third-party, according to an SEC filing reviewed by InformationWeek.
At Cloud Connect 2011 in Silicon Valley, TechWeb's David Berlind gets a demonstration of CA's recently acquired 3Tera AppLogic graphical private cloud deployment tool.
"Under the agreement, if an individual or corporation makes an offer to purchase shares equal to or greater than 30% of the outstanding shares of our common stock, Microsoft may have first and last rights of refusal to purchase the stock," Nvidia said in the filing, dated May 27.
The pact puts Redmond in a position to effectively veto attempts by any of its rivals to snap up Nvidia, which makes key components for the red-hot tablet market, which includes forthcoming Windows 8 slates.
http://www.informationweek.com/news/windows/microsoft_news/229900137
