Tuesday, May 13, 2008

HP and EDS discussions complete

Hewlett-Packard will buy EDS for $13.9 billion in a deal that will turn it into a more-formidable rival to IBM but will also likely entail significant job cuts in order to achieve the necessary cost savings. The combination would make HP the second largest global provider of IT services after IBM. Under terms of the deal, H-P will pay $25 a share in cash for EDS and expects the deal to close in the second half of 2008.

Again, I am wondering where ExcellerateHRO measures up in all this.

Edited (6/9/09) to add: Towers Perrin has sold its 15% stake in ExcellerateHRO to HP. I wonder if HP will keep the company as a division of its business or spin it off?

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