Topic: How To Invest

Wall Street Stock Forecaster Hotline – Friday, November 25, 2016

Article Excerpt

HEWLETT-PACKARD ENTERPRISE CO., $23.22, New York symbol HPE, sells computing services and products, such as servers and analytics software, to businesses and governments. The company still plans to spin off its Enterprise Services business and merge it with Computer Sciences Corp. (New York symbol CSC). Enterprise Services helps corporate clients manage their data centres and computer networks. It now supplies 36% of HP Enterprise’s total revenue. Under the terms of the deal, HP Enterprise shareholders will receive stock in the new firm. As a group, they will own about 50%. They will also receive a special dividend totalling $1.5 billion. The companies expect to complete the merger by March 31, 2017. HP Enterprise will also merge most of its software operations with U.K.-based Micro Focus International plc. The combined company will be one of the world’s largest makers of software for corporate data centres, with annual revenue of $4.5 billion. Under the terms of the deal, HP Enterprise shareholders will receive American Depositary Receipts (ADRs)…