Regulators Clear HP’s Bid for Compaq

Hewlett-Packard Co.’s $22.3-billion acquisition of Compaq Computer Corp. was cleared by the Federal Trade Commission.

“The commission did not find reason to believe that the proposed transaction would impair competition in any relevant market,” the FTC said.

The remaining hurdle is a March 19 shareholder vote. Dissident director Walter Hewlett is leading a proxy battle against the purchase, arguing that it dilutes the company’s shares.

The news came after the close of trading. Shares of Hewlett-Packard fell 42 cents to $20.18, and Compaq shares rose 40 cents to $10.98, both on the New York Stock Exchange.