Hewlett Packard Enterprise is turning to investors to help raise up to $1 billion to finance its expensive purchase of networking rival Juniper.
HPE CEO discusses $14 billion Juniper Network deal and AI
The public offering of 27 million Series C mandatory convertible preferred shares at $50 per share is expected to raise $1.35 billion. HPE has granted the underwriters in the Offering a 30-day option to purchase up to an additional three million shares of preferred stock to cover "over-allotments, if any."
"Proceeds from the Offering will be approximately $1.32 billion (or approximately $1.46 billion if the underwriter exercises its option to purchase additional shares) after deducting the underwriting discount but before expenses," the server and storage maker said.
"HPE intends to use the net proceeds of the Offering to fund all or a portion of the consideration for the previously announced pending acquisition of Juniper Networks, Inc. (the “Juniper Acquisition''), to pay related fees and expenses, and, if any proceeds remain thereafter, for other general corporate purposes."
