Hewlett Packard Enterprise has announced its intention to acquire Juniper Networks in an all-cash transaction valued at approximately $14 billion, or $40 per share. The deal is expected to be finalized in late 2024 or early 2025, according to a statement released by HPE.
The decision to acquire Juniper comes on the heels of recent discussions, as reported by the Wall Street Journal. Following the report, Juniper’s shares experienced a surge, marking its best performance in two decades.
The stock rose by 22%, closing at $37.05, representing a 32% premium over the previous day’s closing price. HPE anticipates that the acquisition will positively impact its adjusted earnings per share within the first year of completion.
The purchase is set to significantly expand HPE’s networking business, doubling its existing capabilities. If the deal is successfully concluded, Juniper CEO Rami Rahim will lead the combined entity, reporting to HPE’s CEO, Antonio Neri.
Further details and discussions about the acquisition are expected to take place during a conference call scheduled for 8:30 a.m. ET on Wednesday.
