EMC Corporation and Dell are set to close its $67 billion merger on September 7 as China has granted the regulatory clearance. Dell Technologies, the name of the newly combined company, will begin its operations right after the closing of the transaction, Dell said in a statement. The announcement follows the regulatory approval of the Dell and EMC transaction by China’s Ministry of Commerce which has granted clearance for the companies’ proposed combination. EMC shareholders had approved the transaction on July 19, with approximately 98 percent of voting EMC shareholders casting their votes in favor of the merger, representing approximately 74 percent of EMC’s outstanding common stock. Also Read - Dell Inspiron 13, 14 and 15 series laptops launched in India: New prices, specs and moreAlso Read - Alienware X15, X17 now the thinnest gaming laptops from Dell, bring RTX 30 series GPU
“This is an historic moment for both Dell and EMC. Combined, we 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,” said Michael Dell, chairman and CEO of Dell Technologies. “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,” he added. At closing, EMC shareholders will receive $24.05 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.
Based on the estimated number of EMC shares outstanding at the close of the transaction, EMC shareholders are expected to receive approximately 0.111 shares of new tracking stock for each EMC share. “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,” said Joe Tucci, chairman and chief executive officer of EMC. “The combination of Dell and EMC creates a new powerhouse in the industry – providing the essential technology for the next era in IT,” he added. Dell announced in October last year a merger with EMC – the top multinational in computer storage and cloud computing. Dell is a leader in PC technologies in the middle and lower segments.