Re: [opensuse] HP to buy SUSE (aka Micro Focus to merge with HP Enterprise)

On 09/17/2016 10:17 AM, Dave Howorth wrote:

On Sat, 17 Sep 2016 10:07:44 -0500 Billie Walsh wrote:

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On 09/17/2016 09:42 AM, Roger Price wrote:

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On Sat, 17 Sep 2016, Per Jessen wrote:

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Apparently, Micro Focus intend to merge with the software half of HP Enterprise. Servers, mass-storage and maintenance will remain with HPE. The new name will shall be Micro Focus.

Through this deal, HPE will make USD2.5bill in cash, but more importantly Micro Focus shares worth 6.3billion which means HPE will own 50.1% of the new Micro Focus. And therefore also SUSE. I'm confused by your last phrase << And therefore also SUSE >>, the blog says

<p>If you read HPE’s news release you’ll see that after the proposed transaction, HPE <strong>shareholders</strong> would own 50.1% of the future Micro Focus <strong>shares</strong>.</p>

<p>HPE, the company, would have no ownership in Micro Focus, would not control Micro Focus and would receive no ongoing revenue or profits from Micro Focus as a result of the merger of Micro Focus and HPE’s software business.</p>

<p><strong>And for SUSE?</strong></p>

<p>HPE would not be acquiring Micro Focus or SUSE with this proposed transaction. SUSE ownership would be unchanged. SUSE would remain a business within the Micro Focus company and Micro Focus will remain independent of HPE. SUSE would not be owned in any way or controlled by HPE.</p>

The blog specifically says << SUSE would not be owned in any way or controlled by HPE. >>

Roger

A conundrum. If HPE will own 50.1% of the new company then they are the majority shareholder. That gives them control of the new company and all it owns. I think you've misread it. It's not HPE that owns anything, it is the current shareholders of HPE who swap their shares for shares in Micro Focus.

If they all chose to vote together and all the current shareholders of Micro Focus chose to vote against them then the current shareholders of HPE would prevail, but I think that's extremely unlikely, not least because I expect some people currently own shares in both HPE and Micro Focus.

The original post said, "HPE will own 50.1% of the new Micro Focus." Doesn't say anything about share holders. To me it reads like HPE will become a part of the new Micro Focus like SUSE is a part and will be the majority shareholder. -- Fast is fine, but accuracy is final. You must learn to be slow in a hurry. -Wyatt Earp- _ _... ..._ _ _._ ._ ..... ._.. ... .._ -- To unsubscribe, e-mail: opensuse+unsubscribe@opensuse.org To contact the owner, e-mail: opensuse+owner@opensuse.org