First, word was that IBM and Sun were in merger talks. Then, the deal seemed about to close when Sun purportedly rejected IBM's formal offer and sent Big Blue on its way—at least, that's the rumor mill's version of the facts. Over a week later, Bloomberg now reports that Sun is trying to get IBM to commit again.
Bloomberg quotes two people familiar with the situation who claim Sun "would be willing to resume takeover talks . . . if IBM makes a stronger commitment to close the acquisition." Commitment is part of the reason Sun backed off in the first place—the firm supposedly thought IBM's formal offer gave it too much room to walk away if the going got tough with antitrust regulators. Sun CEO Jonathan Schwartz thought the price was too low, as well.
It's no surprise to see Sun trying to lure IBM back. Sun's stock price jumped from just under $5 to almost $9 after word of the talks got out, and it dropped to $6.56 after the talks reportedly broke off. Bloomberg also notes that Sun "may have difficulty finding another bidder."