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back to article A Dell/VMware acqui-merge? Good luck landing that, big Mike

The Wall Street rumour mill has recently spun out scenarios in which Dell will either allow itself to be acquired by VMware as a shortcut to its own return to public ownership, or buy back the bits of VMware that are public. Both may be clever financial gymnastics that help the company pay down debt now that it can no longer …

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  1. Anonymous Coward
    Anonymous Coward

    So much for being able to run Dell independent

    So much for all the funny noises about how great Dell will be once it is independent and not in need to answer to shareholders every quarter.

    4 0 Reply
  2. HmmmYes

    Funny this.

    Despite all the BS and hype, Dell and their PE backers are looking at VMware to bail them out of highly indebted, piss poor margins that they find themselves in, just as the cost of US debt is starting to tick up rapidly.

    5 0 Reply
    1. Anonymous Coward
      Reply Icon
      Anonymous Coward

      Tax hit too

      And the new US tax code limits the deduction of interest, raising their tax costs. Lowering cash flow with monstrous debt has to be freaking out Silver Lake. Make no mistake, they are the ones pulling the strings.

      8 0 Reply
      1. HmmmYes
        Reply Icon

        Re: Tax hit too

        Indeed.

        Despite the laser like focus of all these accountants, lawyers and wankers, they fucked up.

        What if ... Trump introduces a flat tax ... simplifies the US tax code.... OMFG!

        1 0 Reply
        1. Anonymous Coward
          Reply Icon
          Anonymous Coward

          Re: Tax hit too

          What if ... Trump introduces a flat tax ... simplifies the US tax code.... OMFG!

          If the tax code reform has somehow screwed private equity debt leveraged buyouts, it will be fixed. Trust me on that. The people who really make the decisions are already purchasing the relevant congresscritters and "responsible prostatninks" from the Trump administration. In fact, they have probably already bought them, it is simply a matter of them getting the purchased new legislation through the "voting checkout".

          3 0 Reply
      2. 707kevin
        Reply Icon

        Re: Tax hit too

        Doesn't a Silver Lake employee or two sit on the Dell & VMware boards?

        1 0 Reply
  3. Zippy's Sausage Factory
    Meh

    Could we please have a computer manufacturer that considers making fast, reliable, solid products its "secret sauce"?

    I mean, being private is all very nice and all and I'm sure being able to do things that wouldn't wash if you had the SEC breathing down your necks every 90 days is all well and good, but your repair guys know where I live. In fact, I'm sure they even know the names of our cats by now...

    4 0 Reply
    1. Anonymous Coward
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      Anonymous Coward

      if you had the SEC breathing down your necks

      SEC still does.

      The way US securities law is set up after a company reaches a certain size keeping it private is worth it only for the purposes dubious financial engineering shenanigans. You still have to go through a large portion of the SEC rigmarole anyway - just ask Google or F***book about the last 1-2 years before they did their IPO.

      1 0 Reply
  4. Anonymous Coward
    Anonymous Coward

    VMware should buy Pivotal and Cloudius Systems, creating a GuestOS free environment so that developers can code directly to VMware products without Linux or Windows.

    2 0 Reply

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