Hewlett Packard Enterprise is buying a long-time rival with a declining business (HPE, SGI)

Hewlett Packard Enterprise announced plans to buy an iconic maker of high-end computers, Silicon Graphics, for $7.75 per share, or $275 million net of cash and debt.
This was basically bargain shopping to take out a long-time competitor.
SGI brought in $521 million in revenues in its last fiscal year, and lost nearly $39 million (net income). SGI's revenues had been diving in recent years, down from $767 million in 2013, and the stock reflected investors' displeasure. Share prices had been