Compaq HP Merger

Merger with Compaq HP "In the merger of corporate finance, companies are more dramatic and more controversial than companies that acquired one or two other companies, which will cause reporters to realize their dreams and cause scandals." Ross, S. 1996) Merger means that a company is absorbed by another company. Acquisition company holds its name and identity and acquires all assets and liabilities of acquiring company. After the merger, the acquired company no longer exists as an independent profit organization.

I will start with the benefits of the merger between HP and Compaq. Hewlett-Packard bought Compaq for $ 25 billion to strengthen the computer industry market. HP is known for its imaging and printing products, and until recently Compaq became the second largest PC maker on the market. Following the acquisition of Compaq, the new HP will include imaging and printing, access to equipment, previous HP related business services (negotiating with the company), Compaq expertise and infrastructure services (including server, storage, software) It has been divided into 4 categories. This merger will help pool the resources of both companies. It collects the assets of the two companies and forms a new large and constant capital (assets of $ 56 billion). This will help the new HP profit earlier than before (HP and Compaq are two different companies))

On September 3, 2001, HP announced that HP will merge with Compaq and HP officially merged with Compaq in May 2002. The merger began as Bill Hewlett objected to the merger. . Prior to the merger, Compaq acquired Tandems Computer and Digital Equipment, but in the market only Hp was the main player. Therefore, after HP merged, a new name HPQ (Hewlett-Packard and Compaq) was created. In 2004, HP announced the DV 1000 series and began his activity of "computer was personalized again" to emphasize the fact that PC is a personal product. On May 13, 2008, HP announced that he purchased the electronic data system (EDS), publicly announced that it changed EDS to Hewlett-Packard EDS brand on August 26, 2008. service