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HP to acquire Aruba Networks for USD 3 billion
2015-03-02 16:53:00| Telecompaper Headlines
(Telecompaper) HP has confirmed an agreement to acquire Wi-Fi equipment specialist Aruba Networks for USD 3.0 billion. Net of Aruba's cash and debt, the price totals USD 2.7 billion. Aruba and its 1,800 employees will join HP's Enterprise Group. Aruba's CEO Dominic Orr will lead the new unit focused on enterprise campus networking equipment, and HP will continue to use the Aruba brand. Aruba had revenues of USD 729 million in fiscal 2014 and has reported compound annual revenue growth of 30 percent over the last five years. HP said it will also leverage Aruba's highly regarded innovation engine and specialized sales, marketing and channel model. HP expects the acquisition to be accretive to earnings in the first full year following close. The transaction is expected to close in the second half of HP's fiscal year 2015, subject to Aruba stockholder approval and regulatory approvals in the US and other countries.
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Category:Telecommunications