HPE to acquire Juniper Networks for $14 billion

In this article

• JNPR
• HPE

Hewlett Packard Enterprise said in a statement on Tuesday that it plans to buy data center networking hardware maker Juniper Networks for about $14 billion, or $40 per share, in an all-cash deal.

The announcement came a day after the Wall Street Journal reported on HPE's interest in buying Juniper.

Juniper shares had their best day in 20 years on Tuesday after the Wall Street Journal report, which said a deal could be announced this week. The shares jumped 22% to close at $37.05.

HPE said the deal would be accretive to its adjusted earnings per share in the first year after it closes.

The acquisition would double HPE's existing networking business. If it's completed, Juniper CEO Rami Rahim would lead the combined group and report to HPE's CEO, Antonio Neri.

HP got deeper into the category when it bought Aruba Networks in 2015, and months later, the technology conglomerate split in two, resulting in the formation of HPE, which sells servers and other equipment for data centers, and HP Inc., which makes PCs and printers.

Founded in 1996, Juniper spent many years chasing Cisco in the market for networking gear. Revenue increased 12% last year, the fastest growth since 2010.

-- Our's Ari Levy contributed to this report.

This is breaking news. Please check back for updates.

Disclaimer: The copyright of this article belongs to the original author. Reposting this article is solely for the purpose of information dissemination and does not constitute any investment advice. If there is any infringement, please contact us immediately. We will make corrections or deletions as necessary. Thank you.