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

The cut-down GTX 1060 may actually be the GTX 1050

The cut-down GTX 1060 may actually be the GTX 1050

The information that NVIDIA was planning a GeForce GTX 1060 version with 3 GB of VRAM and a cut-down GPU surprised many people around the world and introduced a degree of uncertainty on the market – how will you recognize the cut-down GTX 1060 from a “regular” GTX 1060 with 3 GB of memory? Well...

Ergonomically Designed LED-Optical Gaming Mouse by Mionix

The Swedish manufacturer of high-end precision and professional gaming accessories, Mionix, unveiled today the new ergonomically designed LED-optical gaming mouse, Mionix Naos 3200, offering unique features and many customization options. Carl Condradsson from Mionix said that with Mionix...

Microsoft update may break some old games

Microsoft update may break some old games

Microsoft has released a new update for Windows Vista, Windows 7 and Windows 8 computers that might break some old games that you have installed on your hard drive or SSD. Basically the update disables SafeDisc, which is a DRM that protects software on optical disks, including games. When this...

Leave a comment