Compaq-Hewlett Deal Opposed By Institutional Investor

San Diego-based Brandes owned 24.7 million HP shares as of Dec. 31, making it the 12th-largest institutional holder of the technology company's shares, the Journal said.

The Hewlett and Packard families and their charitable foundations have already said they will vote their combined 18 percent holdings against the deal.

A shareholder vote on the proposed transaction is set for March 19. A simple majority of votes are required to approve the deal.

Vinit Bodas, a partner and senior analyst at Brandes, told the Journal that the merger would entail "considerable cultural and integration risks."

Bodas said he favors a stand-alone HP that will "focus and execute" on its enterprise offerings and consider a spinoff of its printer and imaging unit, according to the Journal.

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