Industry & Business

Uncertainty for almost 6,000 Irish jobs amid Dell/EMC talks

 Breaking News
  • Huckletree Announces European FinTech Hub in Dublin 4 Huckletree, the pan-European co-working space operator and accelerator, has announced it will open Ireland’s first fintech co-working hub in Dublin, establishing a European Fintech Hub similar to Barclays RISE, Level39 London and Lhoft Luxembourg. Located in The Oval, Ballsbridge, Dublin 4, the ambition for the fully equipped 23,500 sq ft space is to be a leading [...]...
  • Rye River Brewing Company Crowned the World’s Most Decorated Independent Craft Brewery Irish craft beer brewery, Rye River Brewing Company, has been crowned the world’s most decorated independent craft brewery at the World Beer Awards 2019. Rye River Brewing Company has achieved critical acclaim on the world stage, winning an unprecedented 21 World Beer Awards in 2019, officially making it the “World’s most decorated independent craft brewery”. The Celbridge-based brewery [...]...
  • Health Plan Technology Company Chooses Northern Ireland For New Software Engineering Centre American company HighRoads has announced that it is establishing a product development Centre of Excellence in Belfast to support its rapid growth, and the company plans to recruit at least 20 professionals over the next three years. This team will bring together experts in engineering, product management, and engineering operations to support the creation and expansion [...]...
  • InvoiceFair to Co-Host Seminar on Working Capital Funding For SME Growth in Shannon InvoiceFair, which provides SMEs with alternative working capital funding options through its marketplace platform, is co-hosting a finance seminar for SMEs in Shannon, County Clare. The seminar, co-hosted with Shannon Chamber and Grant Thornton, is designed for companies that need to fund purchase orders, contracts, statement of works, or for companies that need to be [...]...
  • Voxbit Disrupting Telecoms Sector With Innovative Technology Belfast company Voxbit has won business in Great Britain worth more than £3.5 million for its innovative new internet-based business phone platform, byphone, less than 18 months after launching. The firm is challenging global players in the communications market with its Voice over Internet Protocol (VoIP) platform, which was developed with research and development support [...]...

Uncertainty for almost 6,000 Irish jobs amid Dell/EMC talks

Uncertainty for almost 6,000 Irish jobs amid Dell/EMC talks
October 09
08:33 2015

Dell, the world’s third-biggest personal computer maker, is understood to be in talks to combine with all or part of computer data storage giant EMC. A takeover offer would cost Dell around $50bn.

Over 5,300 people are employed by the two companies in Ireland at major sites in Dublin, Cork and Limerick, with another 700 at EMC-linked VMare in Cork. It is not yet known what effect, if any, the possible merger would have on the companies’ Irish operations.

A spokeswoman for EMC Ireland said the firm has over 3,000 employees in the country, including a team of 50 salespeople in Dublin but the rest are employed at the company’s huge ‘Centre of Excellence’ in Cork.

The centre has a range of operations, including marketing, customer services and international finance. The EMC spokeswoman declined to comment on the merger talks.

A spokeswoman for Dell Ireland said that the firm “does not comment on rumour or speculation”. She said that the company employs 2,300 people between its their three campuses in Cork, Limerick and at Cherrywood in Dublin. Dell’s Irish operations are divided up into several separate entities. The Dublin and Limerick sites account for the bulk of Irish staff.

The company’s European financial services headquarters is based in Dublin while in Cork the firm has a high tech multi-lingual EMEA business and technology centre. In Limerick the company operates its EMEA solutions centre. A manufacturing business that had been based in Limerick moved to Poland in 2009. The merger talks have been sparked by EMC’s efforts to appease shareholders disappointed with returns and its efforts to replace an outgoing chief executive.

EMC shares have declined 13pc this year to yesterday, and the company has been under pressure to boost its share price from activist investor Elliott Management. EMC also needs to find a successor for CEO Joe Tucci, who was supposed to step down in February.

Dell, which was taken private in a deal worth about $25bn in 2013, has about $12bn in debt and would need about $40bn in financing to pull off the deal, according to Reuters, which said Michael Dell’s Texas-based IT giant is in talks with lenders about lining up the money.

‘The Wall Street Journal’, which first reported that Dell and private-equity firm Silver Lake are in advanced talks to buy EMC, said that EMC’s stake in VMW is a central element to the talks.

EMC owns an 80pc stake in VMWare which has been most recently valued at $34bn.

If the merger with Dell is completed, it would cement the once consumer-targeted computer company as one firmly placed to run the ICT of major corporations.

Cloud computing business VMWare employs 700 staff at its European headquarters in Ballincollig, Co Cork.

Elliott Management has urged EMC to fully spin out its VMWare unit to shareholders and re-package other top businesses to garner the acquisition interest of large technology firms. A Dell-EMC deal would be the biggest in the sector ever, topping Avago Technologies’ $37bn offer for fellow chipmaker Broadcom Corp, announced in May.

There are doubts that Dell can pull off the deal due to its level of debt and the high amount of cash it would have to fork out to buy EMC.

About Author

admin

admin

Related Articles

New Subscriber

Subscribe Here



Advertisements





















National Manufacturing Conference & Exhibition 2018

NIBRT Springboard Success Stories



Upcoming Events

  • No upcoming events
AEC v1.0.4