Connections +
News

Dell buys EMC in industry’s largest tech merger ever


October 12, 2015  


Print this page

In a blockbuster deal announced today, Dell Inc. and EMC Corp. have signed a definitive agreement under which Dell, together with its owners, Michael Dell, founder, chairman and chief executive officer of Dell, MSD Partners and Silver Lake, will acquire EMC Corp., while maintaining VMware as a publicly-traded company.

Under the terms of the agreement, EMC shareholders will receive US$24.05 per share in cash in addition to tracking stock linked to a portion of EMC’s economic interest in the VMware business.

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,” the two companies said in a release. “The company will be a leader in the extremely attractive high-growth areas of the US$2 trillion information technology market with complementary product portfolios, sales teams and R&D investment strategies.

The deal is projected to be worth US$67 billion, making it the world’s largest IT merger on record.

“The combination of Dell and EMC creates an enterprise solutions powerhouse bringing our customers industry leading innovation across their entire technology environment,” said Dell. “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.”

Meanwhile, Joe Tucci, chairman and CEO of EMC, said that while I am “ tremendously proud of everything we’ve built at EMC – from humble beginnings as a Boston-based startup to a global, world-class technology company, the “waves of change we now see in our industry are unprecedented and, to navigate this change, we must create a new company for a new era.”


Print this page

Related


Leave a Reply

Your email address will not be published. Required fields are marked *

*