Dell is exploring options vis-a-vis VMWare which includes asset divestitures, VMWare’s IPO as well as a merger.
Sources familiar with the matter at hand have disclosed, VMWare Inc, a business software provider and Dell Technologies Inc, a U.S. computer maker, have decided to explore options that could include a potential merger of both companies.
Dell owns 80% of VMWare.
Dell is set to announce later today that it will review a possible reverse merger with VMWare, as well as other alternatives including asset divestitures and an initial public offering, said sources.
They went on to add, VMWare plans on forming a special committee of board directors to consider the merger with Dell.
Sources preferred the cover of anonymity since the matter is confidential.
Dell and VMWare did not immediately respond to requests for comment.