HPE Shares Tumble 1.34% with $0.25B Volume, Ranking 401st as DOJ Merger Approval Faces Legal Firestorm

On August 19, 2025, Hewlett (HPE) fell 1.34% with a trading volume of $0.25 billion, ranking 401st in market activity. The stock’s decline followed heightened scrutiny over the Justice Department’s (DOJ) controversial approval of HPE’s $14 billion merger with Juniper Networks. Former DOJ antitrust deputy Roger Alford accused senior officials, including Attorney General Pam Bondi’s chief of staff Chad Mizelle and associate attorney general nominee Stanley Woodward, of prioritizing lobbyist influence over legal principles in the deal’s clearance. Alford, who was fired for dissenting, argued the settlement allowed politically connected lobbyists—including MAGA-aligned figures Mike Davis and Arthur Schwartz—to sway enforcement decisions, undermining antitrust rigor.

Alford’s allegations, detailed in a speech and op-ed, highlighted “boozy backroom meetings” between DOJ officials and corporate representatives, with HPE required to divest its Instant On WLAN business to secure the merger. Critics, including consumer advocates, labeled the settlement “corrupt and politically rigged,” citing the lack of antitrust expertise among the involved lobbyists. The Tunney Act, which mandates judicial review of merger settlements, has been invoked by Alford and lawmakers to challenge the deal’s legitimacy. Federal Judge P. Casey Pitt, overseeing the case, faces pressure to scrutinize whether the DOJ’s process adhered to the law or favored corporate interests.

The merger’s unresolved legal battle and broader antitrust enforcement uncertainty have raised concerns about regulatory unpredictability. Alford warned that the DOJ’s current approach risks creating a “rule of lobbyists” over the rule of law, destabilizing merger strategies for corporations. While HPE and Juniper claim the settlement was ethical, Alford’s revelations could prolong judicial review and deter future mergers perceived as lacking public interest alignment. The case underscores tensions within the Trump administration over antitrust enforcement, with Alford advocating for stricter oversight to prevent preferential access to the justice system.

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