PALO ALTO, Calif. -- HP (NYSE:HPQ) today announced that it has signed a definitive agreement to purchase Opsware Inc. (Nasdaq:OPSW), a market-leading data center automation software company, through a cash tender offer for $14.25 per share, or an enterprise value (net of existing cash and debt) of approximately $1.6 billion on a fully diluted basis.
Upon closing, the acquisition will enhance HPs portfolio of Business Technology Optimization (BTO) software. Combining Opswares solutions with HPs enterprise IT management software will deliver a comprehensive and fully integrated solution for IT automation. Opsware is the latest in a series of strategic software acquisitions, including Mercury Interactive and Peregrine Systems, which expands HPs leadership in BTO.
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 center, said Thomas E. Hogan, senior vice president, Software, HP. We expect Opswares outstanding team will help us drive leadership across our BTO offerings.
Opsware Chief Executive Officer Ben Horowitz said, We are about to see one of the biggest application and infrastructure build-outs in history. The addition of Opsware to the HP Software portfolio will make HP the obvious choice for powering the next generation of data centers to come.
Hewlett-Packard Co. (NYSE: HPQ)