In an increasingly digital age, a printer can sometimes seem like a bit of an anachronism. But HP doesn't seem too concerned about that, given its latest billion-dollar acquisition.
As Bloomberg reports, HP has agreed to purchase Samsung's printer business in a deal worth $1.05 billion, in a bid to expand its own earnings and share in the printer, copier and multifunction market.
As part of the purchase, HP will also gain around 6,500 patents from Samsung, along with laser printing technology that will help the American company to boost its portfolio of heavy-duty office copiers - a market segment in which its presence is currently limited.
Revenue from HP printing sales declined by 14 percent last quarter, but HP anticipates that the Samsung acquisition will contribute to its earnings in the first full year after the deal is completed. The two companies anticipate that it won't be finalized for another 12 months or so.
Under the agreed terms, Samsung has agreed to purchase between $100 million and $300 million of HP shares once the sale is complete.