Hewlett Packard Enterprise (HPE) is looking to sell its software division, and it seems as buyout company Thoma Bravo LLC is the most likely candidate to purchase it.
Reuters reported this Thursday that, as HPE continues its efforts to position itself as a ' networking, storage, data centers and related technology services' company, it will sell the division that doesn't fit the script.
Apparently, the company is looking to make anywhere between $8 billion and $10 billion, and Thoma Bravo LLC was the company with the best offer. It wasn't the only one looking to buy HPE's software division, though. Vista Equity Partners Management LLC, Carlyle Group LP (CG.O) and TPG Capital LP have all made offers, and in a sale process managed by investment bank Goldman Sachs Group Inc, it was offered $7.5 billion.
According to a Wall Street Journal report, revenue of HPE's software division was down eight per cent last year, from $3.9 billion to $3.6 billion, mostly because its customers decided to switch to software-as-a-service (SaaS). HPE is looking to offload a unit focused on business operations management software, the report added, with units such as customer key technology infrastructure and software-defined networking remaining within HPE.
The news saw HPE's shares rise 4 per cent in New York, on Thursday. The company declined to comment.
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