HP to acquire Palm for nearly $1B in cash
PALO ALTO, CA
The companies announced Wednesday they had agreed to the deal,
which will see HP pay $5.70 for every Palm common share. Palm had
closed trading Wednesday at $4.63 but traded as high as $18.09 in
the past 52 weeks.
When debt is included, the deal values Palm at $1.2 billion.
The transaction is expected to close by the end of July.
HP said Palm's webOS operating system will help it participate
more aggressively in the fast-growing market for smart phones and
connected mobile devices. It also said Palm's current chairman and
CEO, former Apple Inc. executive Jon Rubinstein, is expected to
remain with the company.
