Plantronics, Inc. (POLY) stock soared 50.04% in the current market trading session at the price of $39.31 after it has announced to be acquired by HP Inc.
POLY supplies premium video and audio products to facilitate communication and virtual meetings. Its headsets, analytics software, desk phones, video-conferencing products, and services are devised to connect individuals with great clarity.
HP Inc. Acquired POLY
On 28th March 2022, Plantronics and HP Inc. reported signing a definitive deal to acquire POLY for US$40 per share. The transaction implies an enterprise value totaling US$3.3B, including POLY’s net debt. The transaction will close by 2022 and is subject to regulatory clearances, stockholder approval, and other customary closing conditions.
HP will fund the transaction through its debt and balance sheet cash. The acquisition fosters HP’s business strategy to construct a highly growth-oriented portfolio. Moreover, it will bolster the company’s opportunity in hybrid work solutions and position it for long-term value creation and sustainable growth.
POLY will support the growth of HP’s workforce solutions and peripheral businesses. The workforce solutions sector represents an 8 percent annual growth with a US$120B segment opportunity. Peripherals represent a 9 percent annual growth with a US$110B segment opportunity.
CEO & President of HP, Enrique Lores, remarked that the rise in the demand for hybrid offices had created more opportunities to redefine their work style. Connecting Poly and HP will promote a hybrid work solutions business across large and emerging markets. POLY’s potential go-to-market, powerful technology, and skillful team will support the long-term growth as they keep building a powerful HP.
POLY CEO, Dave Shull, added that they are delighted to have this business opportunity for their partners, employees, and clients. Bringing both parties together will open new prospects for video collaboration. This acquisition delivers captivating value for their shareholders. It demonstrates the hard work of their teams to evolve into well-known leaders.