Dell buys EMC storage for $67bn

Dell is set to acquire EMC in a mega-deal. (AP)
Dell is set to acquire EMC in a mega-deal. (AP)

New York - Computer giant Dell announced oon Monday it was buying cloud computing company EMC Corporation for $67 billion, the biggest ever takeover in the technology industry.

The purchase "will create the world's largest privately-controlled, integrated technology company," Dell said in a statement. The company "will be a leader in the extremely attractive high-growth areas of the $2 trillion information technology market with complementary product portfolios, sales teams and R&D investment strategies."

Stockholders of EMC, the world's largest provider of data storage systems, will receive approximately $33.15 per share, the statement read.

The 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," Dell CEO Michael Dell said.

Dell will be the combined company's chairman and chief executive officer, while EMC CEO Joe Tucci will continue in his position until the transaction closes.

Dell created the company from his dorm room at the University of Texas and led it to become a global heavyweight known for direct service to customers.

In 2013, he led a $24.9bn buyout to take the company private as it attempts a transformation amid diminishing PC sales and the shift to mobile computing.

ZAR/USD
16.96
(+0.20)
ZAR/GBP
21.82
(+0.39)
ZAR/EUR
19.85
(+0.13)
ZAR/AUD
12.09
(-0.13)
ZAR/JPY
0.16
(+0.54)
Gold
1882.74
(+0.01)
Silver
23.79
(+0.24)
Platinum
881.00
(+0.17)
Brent Crude
42.88
(+1.08)
Palladium
2261.36
(+0.86)
All Share
54531.33
(-0.34)
Top 40
50359.65
(-0.43)
Financial 15
10051.26
(+1.20)
Industrial 25
73574.41
(-0.56)
Resource 10
53886.32
(-0.88)
All JSE data delayed by at least 15 minutes morningstar logo
Company Snapshot
Voting Booth
Do you think it was a good idea for the government to approach the IMF for a $4.3 billion loan to fight Covid-19?
Please select an option Oops! Something went wrong, please try again later.
Results
Yes. We need the money.
11% - 1382 votes
It depends on how the funds are used.
73% - 8957 votes
No. We should have gotten the loan elsewhere.
16% - 1979 votes
Vote