When Hewlett Packard Enterprise CEO Antonio Neri won a reversal of the US Ministry of Justice and allowed the takeover of Juniper networks of $ 14 billion through HPE.
Instead, HPE was drawn into one of these strange Maga conspiracy theories that President Trump’s White House turned around. Even Laura Loomer, the Vitualous Online -Trump activist, was somehow involved.
In view of the fact that the Doj dropped its opposition to the merger (it complained beforehand that it would reduce the market competition), Neri could have expected the federal judge to overcome the legal dispute in order to hand over to the deal.
But because the sudden reversal of the doj whirring the gears into the brain of several online Sleuth, which leads to this A letter from Senator Elizabeth WarrenIt is suddenly more likely -maybe not likely, but plausible -that judge P. Casey Pitts will carry out a “Tunney check” that can overthrow the deal.
A “Tunney Review” is a court proceedings that asks whether there is a proposed merger in the public interest. The Tunney Act was created in the 1970s in response to President Nixon’s interference in the M&A market.
A negative tunney check would be a defeat for Neri, which concludes the activist Elliott Management, who bought a shares of 1.5 billion US dollars on the company and sometimes demanded seats on the board because it is of the view that HPE shares are recorded by execution errors on Neris. Neri could lose his job if things don’t go on his way Sources have told Assets.
How did HPE come here?
HPE is of the opinion that it did not do anything wrong and that it simply prevailed in a routine legal proceedings.
“HPE is confident Assets. “The transaction was appropriately approved by the US Ministry of Justice with certain legal remedies and was unconditionally approved by 13 other antitrust authorities around the world. We respect the role that our supervisory authorities play in the maintenance of competitive markets and the professional and constructive way in which the DOJ is connected to us in the approval of the agreement.”
But several online dirt -diggers, including Matt barPresent Francine McKennaPresent Leverage And Capitol forumdrew attention to the change of personnel at the Doj immediately before his approval of the business. Two doj lawyers in that case seem to have been removed from it, accordingly Traffic light. Now is HPE On the front page of Wall Street Journal As exhibition 1 in the narrative that lobbyists prevent the Maga-Antitrust agenda by making out the records of new jobs in the USA (HPE contested this too.)
In Registration at the Federal Court ActHPE listed his consultants for the deal. They contained what Senator Warrens’ letter contained as “as” referred to “as” referred to “Maga oriented antitrust guide Mike Davis. “”
It is this person, the Stoller and his online colleagues believe that she is a lobbyist who is responsible for changing the spirit of the Attorney General Pam Bondi and her chief of staff Chad Mizelle and thus reversing her opposition to business.
Then Loomer uses X To exist that HPE had paid for consultants who allied President Trump 1 million US dollars in order to “influence the hand”. Loomer later deleted the post. Sources previously told Assets You didn’t understand Why Loomer paid attention to the deal.
The lever published a claim The “at the last minute to save face … The intelligence authorities, for national security reasons, which did not occur in any of the legal documents of Doj and HP, to stamp the deal for national security reasons.” Actually HPE act Quote the national security in its certification of the proposed judgment on July 7 to approved the deal. ((You can see it here on page 2.) The national security angle is that the combination of HPE and Juniper creates a larger market share for a US company in places where the alternative could be HuaweiWhat many western governments consider as the asset of a Chinese communist party. (Huawei repeatedly denied this claim.)
The next step is with judge Pitts. It is not clear that Pitts will rub the Doj’s decision. Pitts is a Biden representative who previously worked in a law firm for public interests – and he can therefore be skeptical that Trump’s doj has become so quickly from violent opposition to “whatever”.
His decision is probably months away.
The DOJ told Fortune: “The department has consistently repeated that the solution to this merger was only based on the advantages of the transaction,” said spokesman Gates McGavick.
In the meantime, HPE shares did not react well to the gossip. So far, it remains 5.7% compared to S&P 500, which has increased by 8%. Elliott’s pile is a long position – the merge that they increase the shares. And they are more than Ready to replace the CEO If you don’t get what you want. Hence the pressure on Neri.
