Dell has agreed to sell its IT services division to Japan’s NTT Data Corp. for $3.05 billion in a deal that looks to be beneficial to both parties.
If you recall, the US-based computer maker revealed late last year that it would be acquiring information services company EMC for a whopping $67 billion, making it the largest acquisition in the history of the technology industry.
Unsurprisingly, Dell is looking to free up some cash to put towards the $43 billion in debt from the EMC deal. Some would argue that $3.05 billion hardly puts a dent in the total debt but then again, every little bit helps.
Dell purchased the IT services division – then called Perot Systems – for $3.9 billion back in 2009. The firm was founded by former presidential candidate and billionaire H. Ross Perot in 1988 and employed more than 23,000 people when Dell came knocking. A lot has changed since that time, however, so it would be a bit unfair to compare the purchase price to what it’s selling for today.
On the flip side, the acquisition will allow NTT Data Corp. to expand its reach into North America in an effort to counter slowing growth in its home country. Specifically, the company is looking to get into healthcare IT, insurance and financial services consulting according to Reuters.
Dell’s landmark acquisition of EMC is expected to be finalized between July and October of this year.
Image courtesy Sam Hodgson, Getty Images
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