The move, announced Thursday, will bolster HP's vital printer unit, which supplies most of the firm's profits, and which is encountering increasingly vigorous competition from PC and printer companies at the lower end of the market.
"Wide-format signage is one of the fastest growing opportunities in the market," said Enrique Lores, HP's vice president and general manager of large-format printing, in a statement. "Currently, 17 percent of printing in this area is done digitally, and we expect that to double within the next five years."
The current management of Scitex said the deal with HP calls for HP to acquire licensing rights to the Scitex name. Scitex large-format printers are used for signage and industrial applications such as billboards, banners, street advertising, and packaging.
According to media reports, Scitex Vision reported $142 million in revenue for the year ending June 30.
Scitex Vision, owned by Scitex Corp. Ltd. has its headquarters in Israel. Scitex was founded by U.K. media tycoon Robert Maxwell.