Channels ▼

HP Plans To Buy Synstar

Hewlett-Packard Co. on Monday said it planned to buy IT services firm Synstar plc for $297 million in cash, a move expected to boost HP's sales in the United Kingdom and Europe.

Under the deal, the Palo Alto, Calif., computer maker is offering Synstar shareholders $1.84 a share, which is about a 28 percent premium over the stock's closing price of $1.44 on Friday. Synstar is headquartered in England.

The proposed takeover would add 1,500 service customers to HP in the United Kingdom and Europe. "HP believes that combining the two businesses will result in an organization better able to increase sales of IT services to its combined customer base and to access a greater share of the European multi-vendor market," HP spokesman Greg Caldwell said in response to an email query.

Synstar's board has recommended that shareholders accept the HP offer, Caldwell said. He declined comment on reports that HP could face competition for the acquisition, saying it would be "inappropriate to speculate."

Related Reading

More Insights

Currently we allow the following HTML tags in comments:

Single tags

These tags can be used alone and don't need an ending tag.

<br> Defines a single line break

<hr> Defines a horizontal line

Matching tags

These require an ending tag - e.g. <i>italic text</i>

<a> Defines an anchor

<b> Defines bold text

<big> Defines big text

<blockquote> Defines a long quotation

<caption> Defines a table caption

<cite> Defines a citation

<code> Defines computer code text

<em> Defines emphasized text

<fieldset> Defines a border around elements in a form

<h1> This is heading 1

<h2> This is heading 2

<h3> This is heading 3

<h4> This is heading 4

<h5> This is heading 5

<h6> This is heading 6

<i> Defines italic text

<p> Defines a paragraph

<pre> Defines preformatted text

<q> Defines a short quotation

<samp> Defines sample computer code text

<small> Defines small text

<span> Defines a section in a document

<s> Defines strikethrough text

<strike> Defines strikethrough text

<strong> Defines strong text

<sub> Defines subscripted text

<sup> Defines superscripted text

<u> Defines underlined text

Dr. Dobb's encourages readers to engage in spirited, healthy debate, including taking us to task. However, Dr. Dobb's moderates all comments posted to our site, and reserves the right to modify or remove any content that it determines to be derogatory, offensive, inflammatory, vulgar, irrelevant/off-topic, racist or obvious marketing or spam. Dr. Dobb's further reserves the right to disable the profile of any commenter participating in said activities.

Disqus Tips To upload an avatar photo, first complete your Disqus profile. | View the list of supported HTML tags you can use to style comments. | Please read our commenting policy.