HP Takes ‘Important Step’ in November Company Split with SEC Filing
Hewlett-Packard reports that it’s made an important step in its plan to separate into two companies in November 2015, as yesterday it filed an initial Registration Statement on Form 10 with the U.S. Securities and Exchange Commission (SEC).
According to the firm, its separation into two companies, HP Enterprise Company, which will focus on enterprise systems, software, and solutions, and HP Inc., which will focus on PCs and hardware, remains on track.
The filing provides detailed information on the business and historical financial results of HP Enterprise, and will be updated with more information in subsequent amendments as part of the SEC review process.
HP will also provide more information on the strategy and financial performance of both companies during an HP Securities Analyst Meeting on September 15, 2015, in the San Francisco Bay Area.
“Today, I’m more convinced than ever that this separation will create two compelling companies well positioned to win in the marketplace and to drive value for our stockholders,” commented Meg Whitman, chairman, president, and CEO of HP. “Since we announced our plan to separate in October, we’ve made significant progress and remain on track to complete the separation by the end of the fiscal-year 2015.”
The firm says HP Enterprise Company will provide “the cutting-edge technology solutions customers need to optimize their traditional IT while helping them build the secure, cloud-enabled, mobile-ready future that is uniquely suited to their needs.” With net revenue of approximately $55 billion in fiscal year 2014, this company will include HP’s best-in-class portfolio and innovation capability across the HP Enterprise Group, Enterprise Services, Software, and Financial Services businesses.
HP Inc. will own and operate HP’s printing and personal-systems businesses, which currently hold the number-one position in printing, the number-one position in the commercial personal-systems segment, and the number two-position in the consumer personal-systems segment (according to units shipped). HP says HP Inc. will have an “impressive portfolio and a strong innovation pipeline” with multi-function printing, Ink in the Office, graphics-printing, notebooks, mobile and desktop computer workstations, tablets, and phablets.
The separation will be effected through a pro rata distribution of HP Enterprise’s common stock to HP’s stockholders, and remains subject to certain conditions, including obtaining final approval from the HP Board of Directors, receipt of a favorable IRS ruling, and opinions of HP’s tax advisors regarding certain U.S. federal income-tax matters and the effectiveness of the Form 10.
- June 2015: HP Enterprise Group Executive VP Veghte Leaving HP
- May 2015: Slow Second Quarter for HP and Printing Group, Earnings Slide
- February 2015: Slow Quarter for HP, but Printer Earnings Strong
- January 2015: HP Announces New Chain of Command for HP Enterprise and HP Inc.
- November 2014: Flat Fourth Quarter for HP; Reports Full-Year Results
- October 2014: HP to Split into Two Companies, One Dedicated to Enterprise Solutions, One to Personal Computing and Printing