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Hewlett Packard's enterprise half to take more debt, filing says

Tuesday, August 11, 2015 - 07:29
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Hewlett-Packard's enterprise half will have approximately US$10 billion cash and US$16 billion in debt following its separation, the company said in a filing today.

[SAN FRANCISCO] Hewlett-Packard's enterprise half will have approximately US$10 billion cash and US$16 billion in debt following its separation, the company said in a filing today.

That compares to historical cash of US$2.72 billion and debt of US$1.45 billion in that part of the business, according to the filing with the US Securities and Exchange Commission.

The company announced in October 2014 a plan to split into two separate publicly traded entities, giving it a better chance of competing in its different markets. When the split takes place in November, HP Enterprise will have less predictable business units with greater opportunity for growth, while HP will inherit the cash-generating PC and printer businesses.

The full company currently as a whole has cash of US$14.8 billion and debt of US$21 billion, according to data compiled by Bloomberg. The company had approximately 252,000 employees as of July, according to the filing.

BLOOMBERG