StorageApps sold to Hewlett-Packard for $350 million

Hewlett-Packard has announced that it will acquire StorageApps in a stock-for-stock deal worth $350 million.

Hewlett-Packard and StorageApps today announced the companies have reached a definitive agreement under which HP will acquire StorageApps, a leading provider of storage virtualisation solutions, in a stock-for-stock transaction.

Under the terms of the agreement, HP will acquire all of the capital stock of StorageApps for HP common stock with a value of $350 million.

Completion of the transaction is subject to customary closing conditions and regulatory review.

According to a statement from HP the transaction is intended to be structured as a tax-free reorganisation and will be accounted for as a purchase. Upon completion of the transaction StorageApps will become a wholly owned subsidiary of HP.

The addition of StorageApps virtualisation technology is intended to allow customers to easily implement and manage storage networks.

This technology is also said to enable customers to pool storage devices from different vendors, add capacity and move data among the devices independent of server operating systems or network infrastructure.

As a result, customers can choose the best storage technology for their needs and more scale their networks to meet the unpredictable storage demands of their businesses.

This acquisition reportedly strengthens HP’s storage offering by adding virtualisation as a key component to HP’s Federated Storage Area Management (FSAM) strategy.

FSAM is designed to enable customers to meet the challenge of managing growing and disparate storage systems by growing their storage by a factor of ten without additional personnel.