SANTA CRUZ — HP Inc. announced a definitive agreement to acquire Santa Cruz’s Poly in an all-cash transaction for $40 per share, implying a total enterprise value of $3.3 billion, inclusive of Poly’s net debt.
The acquisition, according to a press release posted on Poly’s website, accelerates HP’s strategy to create a more growth-oriented portfolio, further strengthens its industry opportunity in hybrid work solutions, and positions the company for long-term sustainable growth and value creation.
Poly is headquartered at 345 Encinal St. in Santa Cruz.
“I am thrilled about the opportunity this represents for Poly, our employees, partners and customers,” said Dave Shull, Poly CEO and president, in the press release. “The combination gives us an opportunity to dramatically scale, reaching new markets and channels, supercharging our innovation with a like-minded partner. This transaction offers compelling and certain value for our shareholders and speaks to the hard work done by our teams to become a recognized leader in helping businesses everywhere meet the challenges of a generational disruption in the way people work.”
The transaction is expected to close by the end of calendar 2022, subject to Poly stockholder approval, required regulatory clearances, and the satisfaction of other customary closing conditions. HP will finance the transaction through a combination of balance sheet cash and new debt.
In March 2019, Plantronics Inc. announced that the global communications company was transforming into Poly, after it acquired the communication technology company Polycom in July 2018.