The semiconductor maker Broadcom is in talks to acquire VMware, a cloud computing software provider, which had a market value of $40.3 billion at the close of Friday, sources familiar with the matter told Archyde.com. The sources said that negotiations between the two companies are underway, but their terms were not disclosed.
The acquisition will further diversify Broadcom’s business away from semiconductors to software, especially following its acquisition of CA Technologies for $18.9 billion and its purchase of Symantec Corp’s security division for $10.7 billion over the past four years.
According to Refinitiv data, Michael Dell is the largest investor in VMware, with a 40% stake, as a result of Dell Technologies allocating it to shareholders last year; Dell Technologies is a company that provides information technology solutions.
The data also showed that private equity firm Silver Lake, which previously invested in Broadcom, is the second largest shareholder in VMware, with a 10% stake. (agencies)
