Thursday, January 28, 2016

As Dell Buyout Looms, EMC Reports Flat Q4 Results | Re/code

No need for concern, said the acquiree CEO

"Tucci said EMC remains confident that Dell and its partner Silver Lake will have no difficulty raising the financing required to complete the buyout. Dell has proposed to raise nearly $50 billion in debt to pay for EMC. A falling appetite for corporate debt among bond investors, combined with the 15 percent decline in EMC’s share price since the deal was first announced on Oct. 12, has triggered worries that the terms might run into difficulties.

“We are highly confident in the contractual terms we have in place, that we will meet those contractual terms. There are significant penalties in place both ways if this doesn’t happen. The banks are fully committed,” to fund the debt placement, Tucci said."
As Dell Buyout Looms, EMC Reports Flat Q4 Results | Re/code
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