EDS shareholder sues over Hewlett Packard acquisition
- Author:
- Antony Savvas
- Posted:
- 15:22 30 May 2008
An EDS shareholder is taking legal action to prevent Hewlett Packard's acquisition of EDS for £7bn.
Shareholder Joseph Villari is suing EDS in a Delaware court to force the outsourcer to auction itself off instead, to try to get a higher price.
Hewlett Packard's (HP) acquisition is expected to be completed in the second half of the year. The £7bn price tag was 32% above EDS' total share value before HP's offer to the EDS board.
HP plans to create a new outsourcing business unit with EDS, which will be led by current EDS CEO Ron Rittenmeyer. He will report directly to HP CEO Mark Hurd.
