https://www.channelfutures.com/wp-content/themes/channelfutures_child/assets/images/logo/footer-new-logo.png
  • Home
  • Technologies
    • Back
    • SDN/SD-WAN
    • Cloud
    • RMM/PSA
    • Security
    • Telephony/UC/Collaboration
    • Cable
    • Mobility & Wireless
    • Fiber/Ethernet
    • Data Centers
    • Backup & Disaster Recovery
    • IoT
    • Desktop
    • Artificial Intelligence
    • Analytics
  • Strategy
    • Back
    • Mergers and Acquisitions
    • Channel Research
    • Business Models
    • Distribution
    • Technology Solutions Brokerages
    • Sales & Marketing
    • Best Practices
    • Vertical Markets
    • Regulation & Compliance
  • MSP 501
    • Back
    • MSP 501 Rankings
    • NextGen 101 Rankings
  • Intelligence
    • Back
    • Galleries
    • Podcasts
    • From the Industry
    • Reports/Digital Issues
    • Webinars
    • White Papers
  • Channel Futures TV
  • EMEA
  • Channel Chatter
    • Back
    • People on the Move
    • New/Changing Channel Programs
    • New Products & Services
    • Industry Honors
  • Resources
    • Back
    • Channel Futures 20: Top Tech Providers
    • Advisory Boards
    • Industry Organizations
    • Our Sponsors
    • Advertise
    • 2023 Editorial Calendar
  • Awards
    • Back
    • 2022 MSP 501
    • Channel Influencers
    • Circle of Excellence
    • DE&I 101
    • Technology Advisor 101 (TA 101)
    • Channel Leaders Lists
  • Events
    • Back
    • 2023 Call for Speakers
    • CP Conference & Expo
    • MSP Summit
    • Channel Partners Europe
    • Channel Partners Event Coverage
    • Webinars
    • Industry Events
  • About Us
  • DE&I
Channel Futures
  • NEWSLETTER
  • Home
  • Technologies
    • Back
    • SDN/SD-WAN
    • Cloud
    • RMM/PSA
    • Security
    • Telephony/UC/Collaboration
    • Cable
    • Mobility & Wireless
    • Fiber/Ethernet
    • Data Centers
    • Backup & Disaster Recovery
    • IoT
    • Desktop
    • Artificial Intelligence
    • Analytics
  • Strategy
    • Back
    • Mergers and Acquisitions
    • Channel Research
    • Business Models
    • Distribution
    • Technology Solutions Brokerages
    • Sales & Marketing
    • Best Practices
    • Vertical Markets
    • Regulation & Compliance
  • MSP 501
    • Back
    • MSP 501 Rankings
    • NextGen 101 Rankings
  • Intelligence
    • Back
    • Galleries
    • Podcasts
    • From the Industry
    • Reports/Digital Issues
    • Webinars
    • White Papers
  • Channel Futures TV
  • EMEA
  • Channel Chatter
    • Back
    • People on the Move
    • New/Changing Channel Programs
    • New Products & Services
    • Industry Honors
  • Resources
    • Back
    • Channel Futures 20: Top Tech Providers
    • Advisory Boards
    • Industry Organizations
    • Our Sponsors
    • Advertise
    • 2023 Editorial Calendar
  • Awards
    • Back
    • 2022 MSP 501
    • Channel Influencers
    • Circle of Excellence
    • DE&I 101
    • Technology Advisor 101 (TA 101)
    • Channel Leaders Lists
  • Events
    • Back
    • 2023 Call for Speakers
    • CP Conference & Expo
    • MSP Summit
    • Channel Partners Europe
    • Channel Partners Event Coverage
    • Webinars
    • Industry Events
  • About Us
  • DE&I
    • Newsletter
  • REGISTER
  • MSPs
  • VARs / SIs
  • Agents
  • Cloud Service Providers
  • Channel Partners Events
 Channel Futures

Mergers and Acquisitions


Report: HP Looking to Offload China Networking Business

  • Written by DH Kass 1
  • October 27, 2014

Hewlett-Packard (HPQ), fresh off a move to split the company by PC/printers and enterprise solutions, is huddling with private equity firms in China to sell off controlling interest in its local corporate networking business, according to a Wall Street Journal report.

Hewlett-Packard (HPQ), fresh off a move to split the company by PC/printers and enterprise solutions, is huddling with private equity firms in China to sell off controlling interest in its local corporate networking business, according to a Wall Street Journal report.

HP is looking to sell at least 51 percent of its Hangzhou-based H3C Technologies, in a deal that could be valued at up to $5 billion, the report said. HP gained control of the H3C when it bought 3Com for $2.7 billion in 2010, an acquisition that substantially expanded its Ethernet switching offerings, added routing solutions and strengthened its position in China.

With HP among a number of IT heavyweights, including Cisco Systems (CSCO), Google (GOOG), IBM (IBM), Microsoft (MSFT) and Qualcomm (QCOM) coming under closer scrutiny by the Chinese government, any deal for H3C likely will have to be made with a local buyer to win approval, the report said.

While a Chinese technology company could emerge as a buyer, the most likely scenario is for H3C to be sold to a private equity group, according to the Journal’s account. Whether a deal involves Chinese private equity money or a local IT buyer, HP is said to want to retain a significant minority interest in H3C to continue to use its low-cost manufacturing.

The H3C business sells a wide range of enterprise networking equipment in China, including routers, software and switches. HP doesn’t break out sales and profit for the unit, which employs some 5,000 people. The business dates to 2003 as a joint venture between Huawei and 3Com, with the latter company subsequently buying out the Chinese telecom’s interest in 2006.

When HP announced its plan to split the company into two publicly held entities—one operation for PC and printers and another for enterprise business—HP boss Meg Whitman indicated the enterprise unit could grow through acquisitions. Selling off its H3C unit could help generate the cash to make additional M&A moves.

The company noted, in the separation’s aftermath, that it possessed material non-public information related to a possible acquisition. With any and all talk of an EMC deal gone out the window, might the H3C selloff be the forerunner to another deal in the works?

Tags: MSPs Mergers and Acquisitions

Most Recent


  • Chuck Robbins on stage at Cisco Live 2023
    At Cisco Live, Vendor Makes the Case for a Platform Identity
    "The No. 1 feature that our teams need to continue to focus on is simplicity," CEO Chuck Robbins said.
  • Mobility management
    Amplix Gets Into Mobility Management with CAG Buy
    Amplix joins other technology advisory groups in acquiring in-house mobility management chops.
  • Lots of businesspeople, tech advisors
    Faces of the Partner: 5 Tech Advisors Retiring, Transitioning
    The channel is experiencing a generational shift. These five long-time partner leaders are making a big change.
  • Cloud Roundup, cloud computing news
    Broadcom-VMware, Alibaba Cloud, Red Hat, Google Cloud: A Hefty Roundup
    From the ‘landmark’ deal that just won’t come together to generative AI news galore, we have it here.

Leave a comment Cancel reply

-or-

Log in with your Channel Futures account

Alternatively, post a comment by completing the form below:

Your email address will not be published. Required fields are marked *

Related Content

  • Sign a Contract
    Unisys Adds Managed UCaaS with $153 Million Unify Square Acquisition
  • Telephone poles and lines
    Granite Buys Epik: Score One for Legacy Telecom
  • thumbs up
    FireEye Channel Partners to Benefit from Products Business Sale
  • Security Merger
    Security-Hungry STG Adds FireEye Products Acquisition to McAfee, RSA

Upcoming Events

View all

Channel Partners Europe

June 13, 2023 - June 14, 2023

Channel Futures Leadership Summit

October 30, 2023 - November 2, 2023

Channel Partners Conference & Expo

March 11, 2024 - March 14, 2024

Galleries

View all

Sorry Americas, EMEA Channel Partners Still Lead in Sustainability

June 8, 2023

Generative AI and Cloud: Google, Salesforce, Bessemer, BCG Chime In

June 7, 2023

IT Nation Secure Images: Solutions Pavilion with ThreatLocker, SentinelOne, Cisco, Trend Micro, More

June 7, 2023

Industry Perspectives

View all

Identity Is Increasingly Valuable – and Targeted

May 18, 2023

Gaining a Competitive Advantage through AV Managed Services

May 10, 2023

How to Build an Organization That Attracts and Retains Talent

May 1, 2023

Webinars

View all

From Problem to Profit: Mastering the Science of Selling Using Business Outcomes

May 9, 2023

Meet the 2023 Channel Futures Channel Influencers

April 13, 2023

DE&I Dialogue: How the Right DE&I Initiatives Can Propel Your Business

April 5, 2023

White Papers

View all

6 UCaaS Reseller Challenges and How Real World Businesses Solved Them

February 1, 2023

Frost Radar: North American UCaaS Market, 2022

February 1, 2023

The Complete Guide to White-Label UCaaS for Reseller Success

February 1, 2023

Channel Futures TV

View all

Coffee with Craig and James Episode No. 123: MartinWolf M&A Advisors, CP Expo Preview

UScellular Takes On Rivals with Partner Program Simplicity

April 21, 2023

OpenText Simplifying Deal Registration, Doubling Down on MDF

April 21, 2023

Everything-as-a-Service: CloudBlue Touts Critical Customer Transition

April 18, 2023

Twitter

MSP 501

The industry's largest and most comprehensive partner awards program.

Newsletters and Updates

Sign up for The Channel Report, Channel Futures Update, MSP 501 Newsletter and more.

Live Channel Events

Get the latest information on the next industry-leading Channel Partners event.

Galleries

Educational slide shows and images from live events.

Media Kit And Advertising

Want to reach our audience? Access our media kit.

DISCOVER MORE FROM INFORMA TECH

  • Channel Partners Events
  • Telecoms.com
  • MSP 501
  • Black Hat
  • IoT World Today
  • Omdia

WORKING WITH US

  • Contact
  • About Us
  • Advertise
  • Newsletter

FOLLOW Channel Futures ON SOCIAL

  • Privacy
  • CCPA: “Do Not Sell My Data”
  • Cookie Policy
  • Terms
Copyright © 2023 Informa PLC. Informa PLC is registered in England and Wales with company number 8860726 whose registered and Head office is 5 Howick Place, London, SW1P 1WG.
This website uses cookies, including third party ones, to allow for analysis of how people use our website in order to improve your experience and our services. By continuing to use our website, you agree to the use of such cookies. Click here for more information on our Cookie Policy and Privacy Policy.
X