It seems as the Dell/EMC merger was more than *just* one of the biggest mergers of the year – it was also a sort of an attention drawer used to find out if anyone else was interested in EMC.
According to a Tech Crunch (opens in new tab) report, the agreement has had an interesting provision – EMC was allowed to continue looking for a better deal, all until last night, when it expired.
Now, after no other serious offers had been made, the merger has gotten the green light to proceed.
“No acquisition proposals were received or deemed to constitute a superior proposal to the existing merger agreement,” the statement read. That means that the merger will now proceed and should be completed sometime between May and October of next year.
The merger is no simple task, though. Tech Crunch reports how there will be major obstacles in the way, including Dell’s forced $40m debt just to get enough funds to finalise the deal, the VMWare stock issue, as well as the problem IRS will have on taxing tracking shares.
Some say there is no tax, while others believe it could result in a hefty $9 billion tax bill.
Back when the deal was first confirmed, a few months ago, there was no talk of a “go-shop” clause.
Dell has agreed to acquire EMC for £44 billion, in a merger that was dubbed one of the biggest tech merger ever. The deal will see EMC shareholders receive $33.15 for every share in the company.