So something that has been puzzling me, why did VMware decide to send out offers when the deal had not yet closed. We now have a majority of the workforce demotivated who knew they were not getting offers and if the deal collapses the damage will be severe ....why not just wait untill deal closes then send out offers?
22 replies (most recent on top)
Hubris and a big dose of greed
The offers were sent by BC and only in those countries that could manage that kind of legality pre-closing of the acquisition. They were confident that all the countries would approve because why not? It doesn't make any sense that China doesn't approve the transaction between two foreign companies... And still, if BC wants, this can be done. They just will close VMware operations in China and that's it.
I am having the time of my life seeing people arguing about Biden/Trump here... lol! Seriously? After another country has stopped the transaction and has 38k people waiting for news – the majority of those OUTSIDE of the US – you're still incapable of leaving aside the American-centrism? The longitude of your sight reaches only the tip of your noses...
Broadcom made the offers, it seems they expected to close last week.
Offers were only sent out in 6 countries, and it's a minority who didn't get any kind of offer.
Everyone has to wait and see what happens.
The process should have long been decided, and they just didn't bother to suspend it. Because there are far more important stuffs.
SAMR gave verbal confirmation of approval on around oct 12th. That's when vmw stock hit 180$. News was floating China approval coming any time.
Then all on a sudden, they did a u-turn.
China already knew that chip restriction executive order is coming, so they held the written approval. Then when executive order finally got published, SAMR started saying they need approval from Ministry of finance. The deal died.
China knew all along what they were going to do (hold the deal until expiry) - they just gave false verbal confirmation of approval to Broadcom.
Its called putting the cart before the horse. Arrogant over confident people do it.
SAMR approved the deal. Then China made a u-turn at the last moment. They changed rule. For US companies SAMR needs to consult with Ministry of Foreign Affairs. Now it's blocked because Ministry of foreign affairs is not giving approval.
I don't know why BC or VMware knew this.
With billions of dollars at stake, I cannot fathom why offer letters would go out before the deal was 100% secured. A child could have made a better decision.
Something WILD must have happened.
The TDS is real!
For all you bickering fools, it is Xi that you should be worried about. Not Trump and Biden. Wake up.
Maybe we will get acquired by Digital World Acquisition Corp!
They took the HR portal down and the onboarding training as wel
The onboarding training made this all worthwhile!
You can thank the senile senior Biden for the reversal after he issued the executive order on AI.
the offer letter is sent out after FT reports and BC/VMW have enough time to review and make the right decision. They did not!!!
Post ID: @hde+1pn2xyHk
100% agree with you. Thank you!
@hde+1pn2xyHk it's all because of China making the 180 turn at the last moment.
Broadcom couldn't anticipate/believe it - that's the weirdest part.
After China decided to make the 180 turn to not give approval, they intentionally leaked the news to financial times. It is weird Broadcom was still in dis-belief at that time (when news came in FT) and went ahead with merger election finalization and made offers to vmware folks.
Offers may have come from BC but vmware ‘leadership’, if there’s any of that DNA in the C Suite, has been fully complicit in every aspect of this and the offers pre close was, in my view something contemptuous to staff and regulators, when it could never be equal globally with the varying jurisdictions and requirements.
Would have been as easy and possibly more accepted to let the deal close, smooth a week or month and then do a comprehensive approach, but no….contempt by BC and pure and utter cowtowing by an inept, sterile and soon to increase their millions C-Suite.
As for thinking they can pawn the answers to questions onto BC “oh that’s for BC to answer” - no it’s f%*** not, I’ve managed people and even having a team member transition to another group I will and have always asked to ensure T&C as an example are not lesser, no adverse return for a staff member. So this cop out BS by those absolute cretins of leaders are not washing. BC are what they are and Hock Tan and his ilk are what the are and have never changed their spots, but likewise our EPICly poor leaders have shown what they are when the marketing of “culture and values” fails.
Sorry, there is emotion (anger) in this reply but enough is enough of how we have been treated in all of this by our own leadership, never mind BC. The November vest is another crowning glory while our shares still trade on the market. I hope the company is as EPIC in its own ability to defend itself when the legal arrows start to fly.
Yeah I am perplexed by this as well. Surely nothing has changed since mid October and now. We all know we have been waiting on China so why even send the offers out? Now they say nothing will go out until post close which suggests to me that there is a real shot this does not close after all. They took the HR portal down and the onboarding training as well from what I hear. All this did was stir the pot.
It is because VMW leadership is weak and useless.
Even before the deal is officially closed, they gave up all power by themselves.
It is Broadcom's deal, it is Broadcom's decision...
Shame on you!!! Useless and Shameless!!!
I think BC already got the verbal conditional approval from China SAMR and was just waiting for the official approval to come in last week (before the VMware all hands meeting). Then China made a 180 turn on their decision and is not giving approval.
BC wanted to give the 3 days time for offer acceptance, then 2nd round of offers and layoffs were supposed to be declared on the day of deal close (10/30). All of those got screwed up because China's 180 turn.
I do not know what kind of verbal approval or assurance did BC get from SAMR, which made them so confident SAMR to move forward to much.
The offers came from broadcom not vmware. It puzzles me too.