June 12, 2009
Dell Prepares For Significant Acquisition
In Thursdays' publication of the Wall Street Journal, US computer giant Dell made known plans to attain a "significant-sized company" in the upcoming months.
The newspaper referenced people who have spoken with Dell's chief financial officer, Brian Gladden, recently. They made mention of Dell's ambition to increase its data-storage and tech-services businesses.
The Roundrock, Texas-based company, which sits on more than nine billion dollars in cash reserves, sold one billion dollars in bonds on Wednesday.
A spokesman with Dell told the newspaper that the debt offering was "for general corporate purposes, and among the possibilities -- and certainly no commitment has been made -- are acquisitions."
Dell recently employed high-profile mergers and acquisition executive, David Johnson, from competitor IBM.
The Journal indicated that it is still uncertain if Dell is currently involved in merger talks with any companies.
Dell hopes that these acquisitions will undo the last three years of disappointing growth due to loss in computer market share to rival Hewlett-Packard.
But Dell is not the only technology leader making merger deals. Intel reported last week it had purchased software company Wind River Systems for $884 million, while data storage makers NetApp and EMC are going head-to-head over storage-software company Data Domain.
On the Net: