HP to Acquire Tower Software
HP to Acquire Tower Software
April 1, 2008: Hewlett Packard (HP) has inked a pre-bid agreement to acquire the Canberra based document and records management software company, Tower Software.
The acquisition of Tower will add electronic records management capabilities to HP’s existing e-Discovery and compliance portfolios. HP view the market as fast-growing and the acquisition of a major Australian-based player will no doubt build on this.
"The combination of HP and Tower will allow us to scale and provide our customers with a comprehensive portfolio of enterprise information and IT management software solutions," said Martin Harwood, chief executive officer, Tower Software. "We have partnered with HP for years, so today's news is exciting because we will now be able to enhance how we serve our joint customers and partners."
Tower’s major shareholders, Quadrant Private Equity, Brand Hoff and Martin Harwood who make up 90% of the holdings in the private company have voted in favour of HP’s proposal that will see 22 years of paper and electronic records management experience joined into one of the world’s largest technology companies.
"When I founded Tower more than 20 years ago, we set out to develop the world's best records and document management software. By joining forces with HP – one of the world's largest technology companies – we expect to take TRIM Context to the broader global market," said Brand Hoff, founder, Tower Software. "This will mark a new era for Tower's customers, employees and partners. I am pleased to fully support this transaction and encourage our Tower shareholders to accept HP's offer, in the absence of a higher third-party offer."
Once enacted, the acquisition will be conducted by means of an off-market takeover bid for all of the outstanding shares of Tower, with the deal being subject to the usual round of regulatory conditions.