Compellent Technologies Inc.'s (CML) only formal takeover offer has come from Dell Inc. (DELL), people familiar with the matter said, an indication that any higher amount for the data-storage provider is unlikely--despite the company's current above-bid stock price.

Compellent shares rose further Thursday after announcing a shareholder rights plan meant to deter any unsolicited offers. The news led investors to think another buyer may be circling; however, a person familiar with the situation characterized the move as simply a preventive measure at the urging of Dell, which already lost one bidding war over a data-storage company.

Possibly limiting the interest in Compellent is that the company's offerings--while strong and growing--aren't as unique as products from some of the other recently acquired storage companies, analysts have said.

Interest in data-storage assets has surged because of soaring demand for efficient ways to store and access mounting amounts of documents and media. As a result, the market values of data-storage companies have increased this year amid a buying frenzy.

Shares of Compellent--which recently edged up 13 cents to $27.95--continue to trade above Dell's agreed-upon cash offer price of $27.75, indicating that some on Wall Street are expecting a higher offer.

But people familiar with the matter told Dow Jones Newswires that Dell made the only formal offer for Compellent and that Compellent already explored all alternatives. That would suggest another offer is unlikely before the Dell deal closes early next year.

In an attempt to head off any unwanted offers, Compellent announced Thursday a shareholder rights plan that would protect stockholders if someone buys 15% or more of the company.

The rights plan was adopted as part of the negotiations with Dell and was made to ensure that any other potential buyer works with Compellent's board to evaluate its interest. But there's no indication Compellent has been approached by other interested acquirers, a person familiar with the matter said.

Dell has engaged in one bidding war--against Hewlett-Packard Co. (HPQ) for storage provider 3Par--and it likely was worried about getting involved in another battle, ThinkEquity analyst Rajesh Ghai said. 3Par didn't have a stockholder rights plan.

Compellent shareholders already may be disappointed because the eventual bid price was below Compellent's 52-week high of $34.16, set the day before the two companies took the unusual step of announcing they were in exclusive talks. The announcement was made to help stem the rise in Compellent shares, the people said, as well as give Compellent investors accurate information to trade the stock.

Dell spokesman David Frink said both parties thought it was appropriate to make it public that they were in discussions. He declined to comment further. Compellent also declined to comment.

Dell finalized an $820 million deal Monday for Compellent, boosting its storage portfolio as demand grows in the sector. The company said Compellent products will nicely complement its own storage and help it expand its presence with channel partners.

Investors had been waiting for Dell's response to walking away from the bidding war for 3Par. Compellent had long been mentioned as a potential target, causing shares to triple since August and, eventually, leading to the below-market offer.

Compellent started thinking about its options during the 3Par bidding war, the people said. After Dell walked away from the deal, the Round Rock, Texas, company approached Compellent, the people said.

-By Shara Tibken, Dow Jones Newswires; 212-416-2189; shara.tibken@dowjones.com
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