EMC wants to sell Documentum
The EMC-Dell deal never stops to capture headlines, and today is no different. The media have reported that EMC is looking to sell Documentum, its enterprise content management platform.
Documentum was acquired by EMC in December 2003, when it cashed out $1.7 billion for it. The platform is a part of EMC’s Enterprise Content Division (ECD) business unit.
Bloomberg was the first to start reporting how EMC is looking to sell Documentum, although it failed to mention the price. It did, however, said that the company would be very interested in selling software assets Sonicwall and Quest, all together for a price of about $4 billion.
According to multiple media reports, Documentum has an annual turnover of $600 million, and has a 30 percent profit margin. The sources are, according to Bloomberg, very acquainted with the subject matter, but would like to remain anonymous as the discussions aren’t public.
The Dell-EMC merger was announced on October 12, 2015. Back then, Dell announced it would be acquiring the company in a cash-and-stock deal valued at $67 billion. This is the biggest acquisition to ever happen in the tech industry.
However, such a large acquisition has left Dell is significant debt, which is why it is looking to offload non-core assets to mitigate the cost of the merger. According to The Register, Dell’s services business was sold to NTT Data Corporation in March for $3 billion.
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