On Monday, Dell is announcing that it will acquire EMC, a storage technology firm headquartered in Massachusetts, in the largest-ever tech merger, according to several media reports.
A source told Bloomberg that Dell plans to pay slightly more than $25 a share in cash, in addition to tracking stock for EMC's majority stake in VMware, worth about $8 for each EMC share. Negotiations were still underway late Sunday, and sources told Reuters that EMC is asking for a provision that will allow it to solicit bids from other companies and pay a smaller fee to Dell if it goes with a different party. EMC has a market capitalization of $53.6 billion, and The New York Times values the deal to buy it at about $65 billion. The merger was negotiated directly between Dell CEO Michael Dell and EMC chief executive Joe Tucci, according to Re/Code.
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