The deal is part of a strategy begun under former CEO
Mark Hurd, with the company looking to grow outside the low-margin personal
computer market. It agreed to buy the data-storage maker 3Par for $2.07 billion
just a few weeks ago after a bidding war with rival Dell Inc.
The acquisitions have continued even after Hurd's departure.
He was forced to resign last month after an internal investigation found that
he faked expense reports to cover up a relationship with an outside contractor.
HP is suing Hurd, who has denied the allegations, to keep him out of a job at
rival Oracle Corp.
ArcSight Inc., based in Cupertino, California, helps
organizations keep tabs on the data flowing through their computer networks and
analyze it for signs of hacking, theft or fraud. Its revenue in the most recent
fiscal year came to about $181 million.
On Monday, HP said it would offer ArcSight stockholders
$43.50 per share in cash. That's a 24 percent premium over the ArcSight's
closing share price Friday and a 54 percent premium over ArcSight's last
closing share price before news of a potential deal leaked.
