Private equity or trade sale mooted.
HP is reportedly scouting for Chinese private-equity firms to acquire a majority of its stake in its local corporate networking business, H3C Technologies.
The latest proposal to sell its 51% stake in H3, which could be worth about $5bn if sold completely, comes after the PC maker confirmed plans to split into two earlier this month.
Without disclosing potential buyers, the Wall Street Journal noted that although HP plans the sale to a private equity firm, another Chinese technology firm may also acquire H3C.
Hewlett-Packard Enterprise will mainly be targeted at the firm’s servers, storage, networking and converged systems offerings, together with services and software and its OpenStack Helion cloud platform, while HP Inc will comprise the legacy businesses of personal computing and printing.
Prior to its splitting plan, HP was reportedly in talks to merge with data-storage giant EMC in the midst of pressure from activist investor and the expected exit of its long-time CEO.