HP Inc. to acquire HyperX
Transaction to accelerate HP’s growth in peripherals and expand its gaming ecosystem
PALO ALTO, Calif., February 24, 2021 (GLOBE NEWSWIRE) – HP Inc. today announced a definitive agreement to acquire HyperX, the games division of Kingston Technology Company. The acquisition supports HP’s strategy to drive growth in its Personal Systems business, where games and peripherals are attractive segments. HyperX’s award-winning product portfolio spans a range of gaming peripherals, including headsets, keyboards, mice, mouse pads, USB microphones and console accessories.
“HyperX is a leader in devices whose technology is trusted by gamers around the world and we are delighted to welcome their exceptional team to the HP family,” said Enrique Lores, President and CEO, HP Inc. “ We continue to advance our leadership in personal systems by modernizing computing experiences and growing into valuable adjacencies. We see significant opportunities in the large and growing peripheral market, and the addition of HyperX to our portfolio will generate new sources of innovation and growth for our business. “
PC gaming continues to be one of the most popular forms of video gaming, with the PC hardware industry expected to reach $ 70 billion by 2023.1 The global peripherals market is expected to reach $ 12.2 billion by 2024, with gaming peripherals accounting for a disproportionate share of this growth.
“HyperX products are designed to meet the most rigorous demands of all gamers, from the most casual to the most hardcore, giving them a winning edge and helping them stay on top of their game,” said John Tu, co. -Founder and CEO of Kingston. “Our two companies thrive because we focus on our people and share the same core values and culture. David Sun (co-founder and COO) and I saw the possibilities for the HyperX company and its employees and we both realized that this change brings a brighter future for HyperX.
HP has built a large and growing global games portfolio in recent years, led by its OMEN brand and a world-class ecosystem of hardware, software, content and services. The company continues to advance gaming with powerful devices such as the OMEN 15 Gaming Laptop and the HP Pavilion Gaming 16 Laptop. Beyond devices, HP is driving software innovation with OMEN Gaming Hub, a destination for gamers to connect, customize and explore their gear and games. Adding HyperX to HP’s larger gaming ecosystem will deliver innovative new experiences through everything gamers see, hear and touch.
Under the terms of the deal, HP will pay $ 425 million, subject to usual working capital and other adjustments, to acquire HyperX’s gaming peripherals portfolio. Kingston will keep DRAM, flash and SSD products for gamers and enthusiasts. The acquisition is expected to be accretive on a non-GAAP basis to HP within the first full year after closing. The transaction is expected to close in the second quarter of 2021, pending regulatory review and other customary closing conditions.
For 18 years, HyperX’s mission has been to develop gaming solutions for every type of gamer and the company is still known for providing products that deliver superior comfort, aesthetics, performance and reliability. Under the slogan “WE ARE ALL PLAYERS”, HyperX gaming headsets, keyboards, mice, USB microphones and console accessories are the choice of everyday gamers as well as famous ambassadors, professional gamers, tech enthusiasts and overclockers around the world because they meet the strictest product specifications and are built with the best-in-class components.
HP Inc. creates technology that improves the lives of everyone, everywhere. Through our product and service portfolio of personal systems, printers and 3D printing solutions, we design experiences that amaze. More information about HP Inc. is available at http://www.hp.com.
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1 Sources: VGA24 / 7, DFCint, NewZoo, Steam – https://www.wepc.com/statistics/pc-gaming/