HP acquires Opsware for US$1.6 billion

Hewlett-Packard Co. plans to buy data centre automation software vendor Opsware Inc. for about US$1.6 billion.

HP said Monday that it had signed a definitive agreement to acquire Opsware in a cash tender deal that values the company at $14.25 per share. Opsware’s stock was $10.28 at the close of Friday’s trading.

Once the deal closes, HP plans to combine the Opsware software with its own enterprise IT management software, as the new acquisition becomes part of HP’s software business.

“The acquisition of Opsware is intended to enable HP Software to help our customers resolve one of their critical pain points: controlling the increasing complexity and cost of managing the data centre,” Thomas Hogan, senior vice-president of software at HP, said in a news release.

HP has been steadily expanding its business technology optimization portfolio over the last couple of years through acquisitions, including the purchases of Mercury Interactive and Peregrine Systems.

After HP has closed the acquisition, the vendor expects to appoint Opsware CEO Ben Horowitz as head of its business technology optimization organization, reporting to Hogan.

Subject to regulatory approval, HP hopes to close the purchase before the end of October.

Opsware System software automates data centre operations including provisioning, configuration and deployment.

Would you recommend this article?

Share

Thanks for taking the time to let us know what you think of this article!
We'd love to hear your opinion about this or any other story you read in our publication.


Jim Love, Chief Content Officer, IT World Canada

Featured Download

Featured Articles

Cybersecurity in 2024: Priorities and challenges for Canadian organizations 

By Derek Manky As predictions for 2024 point to the continued expansion...

Survey shows generative AI is a top priority for Canadian corporate leaders.

Leaders are devoting significant budget to generative AI for 2024 Canadian corporate...

Related Tech News

Tech Jobs

Our experienced team of journalists and bloggers bring you engaging in-depth interviews, videos and content targeted to IT professionals and line-of-business executives.

Tech Companies Hiring Right Now