Elliott argued this structure deeply undervalued EMC's core 'EMC II' data storage business, and that increasing competition between EMC II and VMware products was confusing the market and hindering both companies.
ĮMC was being pressured by Elliott Management Corporation, a hedge fund holding 2.2% of EMC's stock, to reorganize the unusual 'Federation' structure, in which EMC's divisions were effectively being run as independent companies. had returned to private ownership in 2013, claiming that it faced bleak prospects and would need several years out of the public eye to rebuild its business. In October 2017, It was reported that Dell would invest $1 billion in IoT research and development. The Dell Services, Dell Software Group, and the Dell EMC Enterprise Content Divisions were sold shortly thereafter for proceeds of $7.0 billion, which was used to repay debt. completed the merger with EMC Corp., which involved the issuance of $45.9 billion in debt and $4.4 billion common stock. In addition to Michael Dell, Singapore's Temasek Holdings and Silver Lake Partners were major Dell shareholders that supported the transaction. It was labeled the 'highest-valued tech acquisition in history'. On October 12, 2015, Dell announced its intent to acquire EMC Corporation, an enterprise software and storage company, in a $67 billion transaction.
Dell–EMC merger wordmark introduced in 2016
