Dell Dumps Software Biz, Implications for Documentum?
Dell has made a lot of progress raising the cash necessary to acquire storage giant EMC by selling $20B investment grade secured bonds in May, and $3.25B worth of junk bonds earlier this month. This past Monday, the company raised another (estimated) $2.2B more by selling Dell Software to Francisco Partners and Elliott Management.
Today Alan Pelz-Sharpe, Vice President & Managing Director of VOCalis at Digital Clarity Group, was quoted in a CMS Wire article exploring what this might mean for other, possible deals.
“So with EMC shareholders voting on the Dell deal on July 19, change is imminent for EMC ECD. Whether it (Documentum + InfoArchive + EMC LEAP) will sell for more than the $1.7 billion EMC paid for Documentum alone in 2003 is anyone’s guess. Digital Clarity Group analyst Alan Pelz-Sharpe suspects it could be close. (Which may explain why Tucci has been so hesitant to sell — it would be admitting that the Documentum acquisition plus the subsequent ECM-related acquisitions that followed failed to flourish under his reign).”
