In a surprise announcement, technology giant Hewlett-Packard stated it has withdrawn its bid to purchase the consultancy arm of PricewaterhouseCoopers.
HP had previously indicated its desire to purchase the consultancy company for $18 billion in cash and stock. The acquisition would have provided HP with a highly trained force of nearly 31,500 technology and business consultants. In addition, the purchase would have enabled PwC to escape the potential conflict of interest issues between audit and consultancy work currently under examination by the SEC.
HP also announced fourth quarter earnings results on Monday, surprising Wall Street with unexpectedly low earnings. Analysts had predicted HP would earn 51 cents per share for the quarter; instead HP announced per share earnings of 41 cents.