HP buys Palm

HP and Palm, Inc. today announced that they have entered into a definitive agreement under which HP will purchase Palm, a provider of smartphones powered by the Palm webOS mobile operating system, at a price of $5.70 per share of Palm common stock in cash or an enterprise value of approximately $1.2 billion. The transaction has been approved by the HP and Palm boards of directors.

The combination of HP’s global scale and financial strength with Palm’s unparalleled webOS platform will enhance HP’s ability to participate more aggressively in the fast-growing, highly profitable smartphone and connected mobile device markets. Palm’s unique webOS will allow HP to take advantage of features such as true multitasking and always up-to-date information sharing across applications.

“Palm’s innovative operating system provides an ideal platform to expand HP’s mobility strategy and create a unique HP experience spanning multiple mobile connected devices,” said Todd Bradley, executive vice president, Personal Systems Group, HP. “And, Palm possesses significant IP assets and has a highly skilled team. The smartphone market is large, profitable and rapidly growing, and companies that can provide an integrated device and experience command a higher share. Advances in mobility are offering significant opportunities, and HP intends to be a leader in this market.”

“We’re thrilled by HP’s vote of confidence in Palm’s technological leadership, which delivered Palm webOS and iconic products such as the Palm Pre. HP’s longstanding culture of innovation, scale and global operating resources make it the perfect partner to rapidly accelerate the growth of webOS,” said Jon Rubinstein, chairman and chief executive officer, Palm. ”We look forward to working with HP to continue to deliver industry-leading mobile experiences to our customers and business partners.”

Under the terms of the merger agreement, Palm stockholders will receive $5.70 in cash for each share of Palm common stock that they hold at the closing of the merger. The merger consideration takes into account the updated guidance and other financial information being released by Palm this afternoon. The acquisition is subject to customary closing conditions, including the receipt of domestic and foreign regulatory approvals and the approval of Palm’s stockholders. The transaction is expected to close during HP’s third fiscal quarter ending July 31, 2010.

Palm’s current chairman and CEO, Jon Rubinstein, is expected to remain with the company.

Source: HP

Related posts

Cassette Tape MP3 Player

Do you remember the old-school walkmans, cassettes and a pocket full of batteries?..."No matter how much we progress as far as technology is concerned, we always look back towards... retro stalwarts for inspiration in the designing field" said from Yanko Design NVDRS Tape foxes around in the...

Fujitsu presents the ESPRIMO Q956 nettop computer

Fujitsu presents the ESPRIMO Q956 nettop computer

The Japanese PC maker Fujitsu has prepared a new nettop computer that provides enough processing power to users who lack desktop space. The computer is called ESPRIMO Q956 and measures just 186 x 191 x 59 mm. The device weighs 1600 grams and comes in a stylish black chassis only. The ESPRIMO...

Subway Surfers – run as fast as you can

Subway Surfers is a free game that has been around for some time now. The game enjoys high Google Play rankings and has been downloaded more than 100 million times. Not surprisingly you will find it at the top of Google Play. Subway Surfers puts you in the boots of a young kid who...

Leave a comment