On January 9, 2024, Hewlett Packard Enterprise (HPE) has agreed to acquire Juniper Networks, Inc. in an all-cash deal valued at approximately US$14 billion (C$18.5 billion), or $40.00 per share. This acquisition, unanimously approved by both companies' boards, represents a 32% premium over Juniper’s stock price prior to the deal's announcement. The transaction, expected to close by late 2024 or early 2025, will double HPE’s networking business and significantly expand its operations in Canada, where both HPE and Juniper have established presences.

HPE aims to leverage Juniper’s advanced AI-driven networking technologies to enhance its edge-to-cloud strategy, catering to the growing demand for secure, unified technology solutions in an AI and hybrid cloud-driven market. This acquisition will bolster HPE's Canadian market offerings, particularly in AI-native networking solutions, further strengthening its competitive position in the region. Juniper CEO Rami Rahim will lead the combined networking business post-acquisition, reporting to HPE CEO Antonio Neri.

The transaction, financed through $14 billion in term loans and other instruments, is anticipated to be accretive to HPE’s non-GAAP EPS and free cash flow in the first year. Expected synergies include $450 million in annual cost savings within 36 months.

J.P. Morgan Securities LLC and Qatalyst Partners acted as financial advisors to HPE, with legal counsel from Wachtell, Lipton, Rosen & Katz, Covington & Burling LLP, and Freshfields Bruckhaus Deringer LLP. Goldman Sachs & Co. LLC served as Juniper’s exclusive financial advisor, with Skadden, Arps, Slate, Meagher & Flom LLP providing legal counsel.