TECHNOLOGY

HP plans $13 billion acquisition of EDS

Hewlett-Packard Co. is buying Electronic Data Systems Corp. for $13.2 billion in a deal that will create the second-largest technology services provider behind IBM.

Under the terms announced Tuesday, Palo Alto-based HP will pay $25 per share in cash for EDS, which pioneered the concept of running computer systems and providing other high-tech help for large companies and government agencies.

It's a field dominated by IBM Corp., which generated $54 billion in revenue from technology services last year. HP's technology services revenue will more than double to more than $38 billion with the addition of EDS, which had $22 billion in revenue last year.

The deal is expected to close during the second half of this year and begin to boost HP's profit in its fiscal year ending in October 2010.

STUDENT ENTREPRENEURS

UW-Madison plans integrated program

UW-Madison students who dream of becoming entrepreneurs will have new resources this fall.

The Entrepreneurial Residential Learning Community is being established, with space for up to 65 new students with a wide range of interests.

Housed in the Sellery Hall dormitory, the program will include a course on entrepreneurship as well as trips to local business incubators and advice from faculty, business and community leaders. Anne Miner, Ford Motor Co. Distinguished Professor of Management and Human Resources and executive director of the Initiative for Studies in Technology Entrepreneurship, will lead the effort.

A $5 million grant from the Kauffman Foundation, aimed at spreading entrepreneurship beyond the business school borders, helped create the program.

RETAIL

American Girl plans store in Boston area

American Girl will add a store in the Boston area in November. The Middleton company, owned by Mattel, will open an American Girl store at Natick Collection, which calls itself the largest shopping mall in New England. The 20,000-square-foot store, in the Boston suburb of Natick, will sell American Girl dolls, accessories and books, and will include a bistro, doll hair salon and party rooms.

It will be the third retail store for American Girl, which opened similar stores in Atlanta and Dallas last year. They were credited for a 10 percent increase in American Girl revenue in the January-March quarter, compared to the same period, a year ago. Another store is planned for 2008, but the location is not being disclosed yet, American Girl spokeswoman Julie Parks said.

The company also has larger American Girl Place stores in Chicago, New York and Los Angeles.

BRIEFLY

Gov. Jim Doyle on Tuesday said he will lead a trade mission to India in November. Wisconsin's exports to India grew by 29 percent over the past year, he said.

— State Journal staff, wires