Tags: US | Hewlett | Packard | ArcSight

Hewlett-Packard Buying ArcSight for $1.5 Billion

Monday, 13 Sep 2010 09:02 AM

Hewlett-Packard Co. has agreed to buy the security software provider ArcSight for about $1.5 billion, the company said Monday as it extends a recent spree of acquisitions.

It's one of a string of deals that has taken HP beyond the low-margin personal computer market. It agreed to buy the data-storage maker 3Par for $2.07 billion just a few weeks ago.

The acquisitions extend a strategy begun under former CEO Mark Hurd, who was forced to resign last month after a company investigation found that he faked expense reports to cover up a relationship with an outside contractor. HP is suing Hurd, who has denied the allegations, to keep him out of a job at rival Oracle Corp.

ArcSight Inc., based in Cupertino, Calif., helps organizations keep tabs on the data flowing through their computer networks and analyze it for signs of hacking, theft or fraud. Its revenue in the most recent fiscal year came to about $181 million.

On Monday, HP said it would offer ArcSight stockholders $43.50 per share in cash. That's a 24 percent premium over the ArcSight's closing share price Friday and a 54 percent premium over ArcSight's last closing share price before news of a potential deal leaked.

ArcSight shares climbed $8.91, or 25.4 percent, to $44.01 — above the offered price — in pre-opening trading. Shares of HP, which is based in Palo Alto, Calif., rose 33 cents to $38.53.

© Copyright 2017 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

1Like our page
2Share
Companies
Hewlett-Packard Co. has agreed to buy the security software provider ArcSight for about $1.5 billion, the company said Monday as it extends a recent spree of acquisitions.It's one of a string of deals that has taken HP beyond the low-margin personal computer market. It...
US,Hewlett,Packard,ArcSight
233
2010-02-13
 

Newsmax, Moneynews, Newsmax Health, and Independent. American. are registered trademarks of Newsmax Media, Inc. Newsmax TV, and Newsmax World are trademarks of Newsmax Media, Inc.

NEWSMAX.COM
MONEYNEWS.COM
© Newsmax Media, Inc.
All Rights Reserved