After the rumors came the confirmation: Dell bought EMC Corporation for $67 billion. The operation is historic for the technology sector which thus sees the birth of a global IT giant.
Dell, one of the world's largest computer manufacturers, with the cooperation of the Silver Lake investment fund will take over emc corporation, company that develops and supplies infrastructure for information technology, data storage and business intelligence.
The transaction involves the acquisition of Emc per $67 billion in cash and stock. As stated in a note, the total value of the transaction is $33,15 per share, 19% more than EMC's closing on Friday. VMware, which is 80 percent owned by EMC and has a market value of approximately $33 billion, will remain a public company. Specifically, EMC shareholders will receive $24,05 in stock and tracking stock, the stock related to a portion of EMC's economic interest in VMware. Dell said EMC shareholders will receive approximately 0,111 new tracking stock for each EMC stock they hold.
The acquisition by Dell comes about two years after the tech company left Wall Street following a roughly $25 billion buyout by founder Michael Dell and Silver Lake. Dell, which struggled to keep pace with its competitors in personal computers, tablets and smartphones, has gradually moved into more profitable areas, such as security and data storage. With the acquisition of EMC, Dell aims to further strengthen in this respect, continuing with the transition from a consumer-oriented company to a group focused on services to large enterprises.
