Michael S. Dell, MSD Partners and Silver Lake announced a bid to acquire EMC Corporation for $24.05 per share in cash in addition to tracking stock linked to a portion of EMC’s economic interest in the VMware business — a deal valued at approximately $67 billion.
The EMC Board of Directors approved the merger agreement and intends to recommend that stockholders of EMC approve the agreement.
The combination of Dell and EMC will create the world’s largest privately-controlled, integrated technology company, with leadership positions in servers, storage, virtualization and PCs. The combined company will have more than $80 billion in combined revenues.
“The combination of Dell and EMC creates an enterprise solutions powerhouse bringing our customers industry leading innovation across their entire technology environment. Our new company will be exceptionally well-positioned for growth in the most strategic areas of next generation IT including digital transformation, software-defined data center, converged infrastructure, hybrid cloud, mobile and security,” said Mr. Dell. “Our investments in R&D and innovation along with our privately-controlled structure will give us unmatched scale, strength and flexibility, deepening our relationships with customers of all sizes. I am incredibly excited to partner with the EMC, VMware, Pivotal, VCE, RSA and Virtustream teams and am personally committed to the success of our new company, our customers and partners.”
EMC and Dell said the plan is for VMware to remain a publicly traded company, with the merger accelerating VMware’s growth across all of its businesses through significant synergies with Dell’s solutions and go-to-market channels.
http://www.dell.com/learn/us/en/uscorp1/secure/dell-emc-transaction?dgc=IR&cid=dellemctransaction&lid=3-2&ref=bnn
