Capellas feared takeover would fail

That emerged at the opening of a three day court hearing in Delaware, prompted by HP renegade Walter Hewlett, who alleges that the firm improperly persuaded the Deutsche Bank to switch its votes at the last minute as shareholder votes were neck and neck for and against the deal.

According to the highly respected newspaper, HP realised in internal projections that just a day or two before the shareholder vote that the vote might go against it, and that caused last minute actions to swing the deal in its favour, it is alleged.

Those allegations caused US authorities to start two investigations into HP at the beginning of last week, one regulatory, by the Securities and Exchange Commission (SEC), and one criminal probe.

HP claims Hewlett's arguments are without any foundation and Judge Wm Chandler III will make a decision on the claims.

Last week, HP claimed preliminary results on the ballot showed that it had narrowly won the approval of shareholders for the takeover.

The case continues. µ

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