Elliott Investment Management acquires $1.5bn stake in HPE

GlobalData

Wed, Apr 16, 2025, 4:54 AM 1 min read

Elliott Investment Management has amassed a stake exceeding $1.5bn in software and networking company Hewlett Packard Enterprise (HPE), Bloomberg reported, citing sources.

Elliott intends to engage with the software and networking company to help enhance its value, the media outlet added.

In March 2025, the company announced plans to lay off about 5% of the workforce over the next 18 months. According to CNBC report, this percentage approximates 2,500 employees and will lead to $350m in gross savings by fiscal year 2027.

Elliott Investment Management is a long-term investor in Dell, a major competitor of HPE.

HPE, which separated from printer and PC-maker HP in 2015, has been led by CEO Antonio Neri for the past seven years.

The company has been active in acquisitions with its predecessor company snapping up Aruba Networks in 2015 for about $3bn, while HPE itself bought Nimble Storage in 2017 and supercomputer company Cray in 2019.

In January, the US Department of Justice (DOJ) filed a lawsuit to prevent HPE's proposed $14bn deal to acquire rival Juniper Networks.

HPE agreed to acquire networking gear maker Juniper Networks in an all-cash deal for $40 per share, valuing the latter at about $14bn, in January 2024.

Filed in the Northern District of California, the DOJ’s lawsuit argues that the merger would eliminate direct competition, drive up prices, stifle innovation, and limit choices for businesses and institutions, violating the Clayton Act.

In November 2023, HPE partnered with Nvidia to offer an enterprise computing solution for generative artificial intelligence (GenAI) applications.

"Elliott Investment Management acquires $1.5bn stake in HPE" was originally created and published by Verdict, a GlobalData owned brand.

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