Antonio Neri, president and chief govt officer of Hewitt Packerd Enterprise (HPE), speaks throughout the HPE Discovery CIO Summit in Las Vegas, Nevada, U.S., on Tuesday, June 19, 2018. The summit brings collectively consultants and business leaders to discover the vital parts CIO’s should tackle to allow pace and agility, together with individuals, use of information and approaches to safety, governance and management. Photographer: Bridget Bennett/Bloomberg by way of Getty Photos
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Hewlett Packard Enterprise mentioned in an announcement on Tuesday that it plans to purchase knowledge middle networking {hardware} maker Juniper Networks for about $14 billion, or $40 per share, in an all-cash deal.
The announcement got here a day after the Wall Avenue Journal reported on HPE’s curiosity in shopping for Juniper.
Juniper shares had their finest day in 20 years on Tuesday after the Wall Avenue Journal report, which mentioned a deal could possibly be introduced this week. The shares jumped 22% to shut at $37.05.
HPE mentioned the deal can be accretive to its adjusted earnings per share within the first 12 months after it closes.
The acquisition would double HPE’s current networking enterprise. If it is accomplished, Juniper CEO Rami Rahim would lead the mixed group and report back to HPE’s CEO, Antonio Neri.
HP bought deeper into the class when it purchased Aruba Networks in 2015, and months later, the expertise conglomerate cut up in two, ensuing within the formation of HPE, which sells servers and different gear for knowledge facilities, and HP Inc., which makes PCs and printers.
Based in 1996, Juniper spent a few years chasing Cisco available in the market for networking gear. Income elevated 12% final 12 months, the quickest progress since 2010.
That is breaking information. Please test again for updates.
