HP has agreed to acquire video and voice solutions vendor Poly for $40 (£30) per share, amounting to a total value of $3.3 bn (£2.5bn), inclusive of Poly’s net debt.
With the acquisition of Poly, HP says it hopes to boost its long-term sustainable growth and bolster its hybrid work options for its customers.
“The rise of the hybrid office creates a once-in-a-generation opportunity to redefine the way work gets done,” said Enrique Lores, president and CEO of HP. “Combining HP and Poly creates a leading portfolio of hybrid work solutions across large and growing markets. Poly’s strong technology and talented team will help to drive long-term profitable growth as we continue building a stronger HP.”
Poly CEO Dave Shull said he is thrilled about the opportunity the acquisition represents for the company, its customers and partners.
“The combination gives us an opportunity to dramatically scale, reaching new markets and channels, and supercharge our innovation with a like-minded partner,” he said.
The company said it expects to achieve $500m (£382m) of revenue synergies by 2025 and accelerate Poly’s revenue growth to an approximately 15% CAGR over the first three years after the merger.
HP said it expects the deal to be immediately accretive to HP’s revenue growth, margins and non-GAAP EPS at close.
The deal is expected to close by the end of calendar year 2022.
