3Com acquired by private equity

Networking company, 3Com has been bought by private equity company Bain Capital and former joint-venture partner Huawei Technologies for $2.2 billion.

The deal will give Huawei Technologies a minority stake in the US-based company, but had previously worked with it, for their H3C joint venture – one that was later bought out by 3Com for $882 million.

"3Com has a strong competitive position, and we believe there are significant opportunities to grow by acquiring customers and introducing new products," Jonathan Zhu, a Bain Capital managing director based in Hong Kong, said in a statement.

After several unsuccessful attempts at revamping the business, the question is now; can taking the market private allow the new owners to make the neccessary changes in order to help it compete against its major rivals including Cisco.