Sources have told TheDeal.com that Bain may attempt to restructure the deal to exclude Huawei, a Chinese telecom gearmaker with ties to the Chinese army, from the investment group or limit its involvement with 3Com. At issue is the government's concern regarding 3Com's TippingPoint unit, which develops encryption technology that happens to be used by the U.S. government. This circumstance has lead to rampant speculation on Yahoo! Finance message boards that Bain would restructure the deal -- at a lower share price -- and spinout TippingPoint via an IPO.
Additional coverage will come later in The Daily Deal and on TheDeal.com. - Matthew Wurtzel
See the morning's story from TheDeal.com
See the 3Com message board at Yahoo! Finance