HPE spins off remaining Autonomy assets – including IDOL engine – in Micro Focus tie-up
Hewlett Packard Enterprises has merged its software business segment – including the remaining assets of Autonomy – with UK tech company Micro Focus. After a series of earlier divestments by HP, the remaining Autonomy assets include the IDOL search engine, which is licensed by iManage and the engine behind iManage Work.
Hewlett Packard acquired Autonomy in 2011 in an ill-fated deal that last year saw iManage (formerly part of Interwoven, which in 2009 was acquired by Autonomy) in 2015 complete a successful management buyout. In April, OpenText paid $170m for a bundle of solutions including what remains of Interwoven.
While the Micro Focus transaction is being valued at $8.8bn, the deal will, according to the Financial Times, see HPE’s shareholders receive $2.5bn in cash and a majority 50.1% share of the enlarged Micro Focus, which will retain its name and management control.
Micro Focus, which is headquartered in Berkshire, was promoted to the FTSE 100 last week.
Kevin Loosemore, executive chairman of Micro Focus said: “The combination of Micro Focus with HPE Software will give customers more choice as they seek to maximize the value of existing IT assets, leveraging their business logic and data along with next-generation technologies to innovate in new ways with the lowest possible risk.”
The merger is subject to customary closing conditions, including anti-trust clearances and shareholder approval and is expected to close in Q3 2017.
More to follow.