Hewlett-Packard Co has announced that its board has sanctioned the previously declared split of the company into two distinct entities. The two enterprises have been split into two sections–printers and computers in one, while services plus corporate hardware forms another group. HP announced on Thursday that it anticipates a split into HP Inc and Hewlett Packard Enterprise Co to be complete by November 1.
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Right after the announcement, HP Enterprise that comprises corp hardware and its services business will soon initiate trading on New York Stock Exchange under the HPE ticker symbol. HP shareholding individual will now get access to a share of HP Enterprise for every share they hold as of October 21. This tax-free distribution system will be as per a pro-rata basis, the company board announced. The split had already been announced last year in October but the final leg has been confirmed only now. HP has been struggling over the years for adjusting to the computing age after the PC has been written off as we had known it in the wee-days.
Summing Up The Trading Story
Hewlett-Packard also announced that it expected its Enterprise arm to begin trading as per the “when issues” basis under the ticker symbol HPE WI. The share unit pricing stood at 25.61 dollars—unchanged—during pre-market trading on Thursday last week. Last week, around Wednesday, the stock pricing had plummeted by about 27 per cent since October 3rd. this was the last trading day before the company announced its split.
