HP has completed its acquisition of Samsung Electronics’s printer business in a deal valued at US$1.05bn ($1.52bn).
HP says that A3 represents its largest growth opportunity in business printing adding that the combination with Samsung expands HP’s portfolio and accelerates its ability to disrupt the US$55bn A3 copier segment also strengthens its leading A4 laser printing business. Samsung also brings intellectual property of more than 6500 print patents and a workforce of nearly 1300 researchers and engineers with expertise in laser technology, imaging electronics and supplies and accessories.
Dion Weisler, president and chief executive of HP Inc says, “As we ignite a renaissance in printing, we’re thrilled to bring together the industry’s best and brightest talent. Together, we will build on more than 30 years of print leadership to accelerate our strategy, disrupt new market opportunities, and provide our customers and partners with unique and highly innovative print solutions.”
With Samsung, HP says it now offers the industry’s strongest portfolio of A3 multifunction printers that deliver the simplicity of printers with the high performance of copiers. The fully integrated portfolio, including next generation PageWide technologies, offers opportunities to grow managed print and document services as sales models shift from transactional to contractual. The company says customers will have greater choice, reliability and uptime, with lower cost of ownership and more affordable colour. The combined portfolio includes security features such as HP Connection Inspector, HP Sure Start, Run-time intrusion detection and whitelisting.
HP will provide financial guidance on its Q4 2017 earnings call. As part of the agreement, Samsung will make a US$100m to US$300m equity investment in HP through open market purchases.