Hewlett-Packard Co. and 3Com Corp. late this afternoon announced that they have entered into a defi...
November 11, 2009
Hewlett-Packard Co. and 3Com Corp. late this afternoon announced that they have entered into a definitive agreement under which HP will purchase 3Com, a provider of networking switching, routing and security products, at a price of US$7.90 per share in cash or an enterprise value of approximately US$2.7 billion.
The terms of the transaction have been approved by the HP and 3Com boards of directors.
In a direct aim at market leader Cisco Systems Inc., Dave Donatelli, HP’s executive vice president and general manager, Enterprise Servers and Networking, said companies are looking for ways to “break free from the business limitations imposed by a networking paradigm that has been dominated by a single vendor.
“By acquiring 3Com, we are accelerating the execution of our Converged Infrastructure strategy and bringing disruptive change to the networking industry,” he said.