Does VMware try to stay independent and become a tech leader again? Get picked over by VCs and others? Immediately get another takeover offer?
I know a lot of folks are hoping the Broadcom deal falls through, but I don't see how VMware gets its mojo back as an independent company at this point.
Hock Tan will reluctantly agree to the regulator's demand for concessions, because Broadcom has a $1.5 billion termination fee should the deal fall apart. However, he will likely be looking to quickly raise cash to pay-down the debt used to acquire VMware. Some BUs will go to the highest bidder. Assuming there are eager bidders.
Big Remaining Question: who wants to consider Hock's asking price and buy legacy enterprise software BU assets in the current market? My guess, not many PE takers.
It’s not going to fall through.
VMWare doesn't get the choice to stay independent. It will get sold to somebody. The folks holding majority shares want to cash out.
We can continue to focus on the main thing! Horray!
You get a car… and YOU get a car .. and even YOU, get a car.
Too bad your driver is Mr. Magoo.
There will not be a subsequent offer if the Broadcom merger fails. Who would bid for the company knowing regulators will deny their offer just like they did for Broadcom?
I think first of all, our shareholder will cry as he'll be out of a few dollars.
Picked over by VC's? Not a chance in he-l. VC's are in the business of hyper growth investments. That ship has lonnnng sailed for VMW.
Split into chunks and sold off for even less $$.
There is NO chance of an independent VMware.
Face it, VMware's top shareholders are tired of the effort it takes to run this company full of people who are bad at math and mostly hate each other's products, and they are ready to cash out.
It gets dismantled by PE and sold in pieces to the highest bidder. Employees get nothing. Maybe core virtualization remains a standalone public company but I seriously doubt it. MD wants paid.
The biggest challenge to remaining an independent company at this point is that Hock has told the investor and analyst community just how much fat is sitting there on the books.