EU Clears HP Purchase of Compaq Without Conditions

Printer-friendly version Email this CRN article

The European Commission said on Thursday that it had approved without conditions Hewlett-Packard's proposed purchase of Compaq Computer in a $22.3-billion deal.

"A careful analysis of the merger...and of the competitive forces in the markets concerned has shown that HP would not be in a position to increase prices and that consumers would continue to benefit from sufficient choice and innovation," the Commission said in a statement.

Regulatory clearance, which had been widely expected, is not the final hurdle for the merger of the two U.S.-based global providers of computing and enterprise technology solutions.

A shareholder vote on what would be the largest merger in personal computer history is expected in March and the outcome is far from certain.

Copyright 2002 Reuters Limited. All rights reserved.

Republication or redistribution of Reuters content, including by framing or similar means, is expressly prohibited without the prior written consent of Reuters.

Reuters shall be not be liable for any errors or delays in the content, or for any actions taken in reliance thereon.

Printer-friendly version Email this CRN article