US computer giant Dell has agreed a deal to buy data storage company EMC for $67bn (\u00a344bn).<\/p>\n
EMC shareholders will receive $33.15 per share, $24.05 of which will be in cash.
\nIf approved by regulators, the deal would be the biggest in history between two technology companies.<\/p>\n
Falling demand for PCs means Dell is looking to expand into more lucrative businesses, and it has identified data storage as a key growth area.<\/p>\n
“Our new company will be exceptionally well-positioned for growth in the most strategic areas of next-generation IT ,” said Dell boss Michael Dell.<\/p>\n
EMC boss Joe Tucci said: “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”.<\/p>\n
Mr Dell will be chairman and chief executive of the combined group that, Dell said, would be the world’s “largest privately-controlled, integrated technology company”.<\/p>\n
‘Stunning coup’
\nThe exact cost of the deal will depend on the value of shares in VMware, the software company controlled by EMC. VMware will remain an independent, listed company.<\/p>\n
The price per share agreed represents a 20% premium on Friday’s EMC closing share price of $27.86. EMC shares were up about 4% in pre-market trading on Monday.<\/p>\n
The deal is expected to close some time between May and October 2016.
\nAnalysts suggested the deal was a brave move by Dell.<\/p>\n
“Dell wants to become the old IBM Corp, a one-stop shop for corporate clients,” said Erik Gordon from the University of Michigan’s Ross School of Business.<\/p>\n
“That model fell apart a couple of decades ago. Reviving it would be a stunning coup for Dell.”<\/p>\n
–<\/p>\n
Source: BBC<\/p>\n","protected":false},"excerpt":{"rendered":"
US computer giant Dell has agreed a deal to buy data storage company EMC for $67bn (\u00a344bn). EMC shareholders will receive $33.15 per share, $24.05 of which will be in cash. If approved by regulators, the deal would be the biggest in history between two technology companies. Falling demand for PCs means Dell is looking […]<\/p>\n","protected":false},"author":24,"featured_media":159155,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"jnews-multi-image_gallery":[],"jnews_single_post":[],"jnews_primary_category":[],"jnews_social_meta":[],"jnews_override_counter":[],"footnotes":""},"categories":[],"tags":[18],"class_list":["post-159153","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","tag-dr-akwasi-osei"],"_links":{"self":[{"href":"https:\/\/citifmonline.com\/index.php?rest_route=\/wp\/v2\/posts\/159153","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/citifmonline.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/citifmonline.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/citifmonline.com\/index.php?rest_route=\/wp\/v2\/users\/24"}],"replies":[{"embeddable":true,"href":"https:\/\/citifmonline.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=159153"}],"version-history":[{"count":0,"href":"https:\/\/citifmonline.com\/index.php?rest_route=\/wp\/v2\/posts\/159153\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/citifmonline.com\/index.php?rest_route=\/wp\/v2\/media\/159155"}],"wp:attachment":[{"href":"https:\/\/citifmonline.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=159153"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/citifmonline.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=159153"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/citifmonline.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=159153"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}