HP makes biggest acquisition in four years

26 July 2006 — Palo Alto (CA): Hewlett-Packard has agreed to buy Mercury Interactive, a leading IT management software and service company, for $4.5 billion.
 
Mark Hurd, HP CEO and president, said: "Today, we are combining two market-leading businesses to create the most powerful management software portfolio in the industry." He continued: "Together, they will help customers cut their IT costs, speed the delivery of new services and drive profitable growth at HP. We expect this important acquisition to deliver significant value for our shareholders."
             
The acquisition, the company’s largest in four years, is expected to increase the annual revenue of HP’s software business to $2 billion.