Broadcom announced the takeover of software producer VMware. The deal will be one of the largest in the history of the technology sector – its value is estimated at $61 billion.
VMware has agreed with the world’s leading semiconductor maker Broadcom on the sale, the deal has been approved by both sides, Broadcom said in a statement.
VMware shareholders will receive a quarter of one Broadcom share or $142.5 in cash for each security. If you do the math, VMware was valued at 44% more than its market value as of May 20, the last day of trading before the first news releases about the deal.
The deal was worth $61 billion, making it one of the largest in the history of the technology sector. In January, Microsoft announced it was buying Activision Blizzard for $68.7 billion, and in April, Elon Musk said he was buying the social network Twitter. The latter deal has been put on hold pending clarification of some details.