Dell Technologies (NYSE: DELL) have reached a deal with Francisco Partners and TPG capital to acquire cloud-based integration platform Boomi for $4 billion.
Franciso Partners, a global investment firm specialising in partnering with technology businesses, and TPG Capital, the private equity platform of global alternative asset firm TPG, are expected to close the deal by the end of 2021.
Boomi has over 15,000 customers globally, discovering, managing and orchestrating data. The platform allows customers to create integrated experiences and instantly connect people to what they want – making it faster to unify data, systems, applications, processes, people, enterprises and organisations globally.
The sale of Boomi follows Dell’s announcement that it would spin off its majority stake in VMWare.
“Boomi has flourished as part of Dell Technologies, growing exponentially since we acquired them in 2010. This proposed transaction positions Boomi for its next phase of growth and is the right move for both companies, our shared customers and partners,” said Jeff Clarke, vice chairman and chief operating officer of Dell Technologies.
Dipanjan Deb, co-founder and CEO, and Brian Decker, partner, at Francisco Partners, commented: “The ability to integrate and connect data and workflows across any combination of applications or domains is a critical business capability, and we strongly believe that Boomi is well positioned to help companies of all sizes turn data into their most valuable asset.”
Dell’s share price has rocketed since the lows of the pandemic. Following the coronavirus outbreak and subsequent shutdowns, Dell’s stock price fell to lows of $25.51. Since then, they have rallied, gaining over 145% in the past year, closing Friday’s session at $98.33.
Premarket, Dell shares are little moved, trading at $98.36.
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