Deals
Michael Dell Weighs Combining Tech Businesses Into One
- Combination could help companies manage massive debt load
- VMware management would likely stay, with Dell as parent
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After years of creative corporate structures and financial maneuvering, Michael Dell is finally ready to bring all the pieces of his technology empire under one, publicly traded roof.
The billionaire’s ultimate goal is to create a structure that would help his two companies, Dell Technologies Inc. and VMware Inc., better manage a massive debt load, according to people familiar with the matter. One favored option, aside from an initial public offering for Dell, is combining the businesses and shifting Dell’s debt onto VMware’s balance sheet, the people said. That would also allow VMware’s free cash flow to be used to pay down some of the debt, they said.