HP completed the purchase of the division of Samsung that produces printers
HP this week announced the completion of the purchasing division of Samsung, which produces printers. We will remind, the corresponding agreement the parties signed in September last year.
As always in the case of major transactions — and in this case, the purchase is estimated at 1.05 billion dollars needed permits from the regulatory bodies. Chinese regulators have allowed HP to by Samsung for production printers only at the beginning of last month. However, they imposed some limitations to HP are unable to occupy a dominant position in the market of laser printing devices.
In particular, the company is required to sell HP printers in A4 format in China at «fair and reasonable» conditions, every six months, providing the pricing report to the Ministry of trade. She can’t make changes to the design of the printers, which reduces their compatibility with supplies from other manufacturers. In addition, HP can not buy in China other printer manufacturers A4.
Following the transaction, HP has received over 6,500 patents in the field of printing technology and printers, as well as approximately 1300 highly-qualified specialists.
It remains to add that under the agreement, Samsung has committed to invest in HP from 100 to 300 million dollars through the purchase of shares in the market.