HP to buy Samsung's printer business in $1.05bn deal

HP Inc. has agreed to buy Samsung Electronics Co’s printer business in a deal valued at $1.05bn.

The deal, which is expected to be accretive in the first full year following closing, is the largest print acquisition in HP’s history and accelerates its growth opportunities in the copier segment.

In addition, HP said the purchase will strengthen its ability to service customers in global laser printing, a category where it has enjoyed a strong, mutually beneficial partnership with Canon for more than three decades.

The transaction is expected to close within 12 months pending regulatory review and other customary closing conditions. After closing, Samsung has agreed to make a $100m to $300m equity investment in HP through open market purchases.

Dion Weisler, president and chief executive officer of HP, said: “When we became a separate company just 10 months ago, it enabled us to become nimble and focus on accelerating growth and reinventing industries.

“We are doing this with 3D printing and the disruption of the $12trn traditional manufacturing industry, and now we are going after the $55bn copier space. The acquisition of Samsung's printer business allows us to deliver print innovation and create entirely new business opportunities with far better efficiency, security, and economics for customers."

HP said Samsung’s printer business brings a “compelling intellectual property portfolio” of more than 6,500 printing patents and a “world-class workforce” that includes nearly 1,300 researchers and engineers with advanced expertise in laser printer technology, imaging electronics, and printer supplies and accessories to support continued innovation in print market solutions.