Dell sets date for EMC acquisition
- 31 August, 2016 09:24
Joe Tucci - CEO, EMC and Michael Dell - CEO, Dell
Dell’s multi-billion dollar acquisition of EMC will close on September 7, with China regulatory approval clearing the way for the birth of Dell Technologies.
Almost a year since announcing its intention to create the world’s largest technology vendor, Dell said the combined company will begin operating immediately following the close of the transaction.
“This is an historic moment for both Dell and EMC,” Dell chairman and CEO, Michael Dell, said.
“Combined, we will be exceptionally well-positioned for growth in the most strategic areas of next generation IT including digital transformation, software-defined data centre, converged infrastructure, hybrid cloud, mobile and security.
“Our investments in R&D and innovation, along with our 140,000 team members around the world, will give us unmatched scale, strength and flexibility, deepening our relationships with customers of all sizes.”
The announcement follows regulatory approval of the Dell and EMC transaction by China’s Ministry of Commerce (MOFCOM), which has granted clearance for the companies’ proposed combination.
MOFCOM approval was the final regulatory condition to closing the transaction after EMC shareholders approved the transaction on July 19, with approximately 98 per cent of voting in favour of the merger, representing approximately 74 per cent of EMC's outstanding common stock.
“I am proud of everything we’ve built at EMC - from humble beginnings as a Boston-based startup to a global, world-class technology company with an unyielding dedication to our customers,” EMC chairman and CEO, Joe Tucci, added.
“The combination of Dell and EMC creates a new powerhouse in the industry - providing the essential technology for the next era in IT.”
At closing, EMC shareholders will receive $US24.05 per share in cash in addition to a newly issued tracking stock linked to a portion of EMC’s economic interest in the VMware business.