Dell acquires Compellent for $800 million

Dell acquires Compellent for $800 million

2011-02-23 08:32:13 GMT+7 (ICT)

ROUND ROCK, TEXAS (BNO NEWS) -- Dell on Tuesday announced that it had completed its acquisition of Compellent Technologies, Inc. for an estimated $800 million.

Last December, Dell had announced it would acquire Compellent for $876 million, but on Tuesday the company said it paid $27.75 in cash for each share of Compellent, which represents a total equity value of approximately $940 million. However, the aggregate purchase price is approximately $800 million.

Compellent is a rapidly-growing provider of highly-virtualized storage solutions with automated data management features, including tiering and thin provisioning, for enterprise and cloud-computing environments.

With the acquisition, Dell is expecting to expand its enterprise storage portfolio which includes EqualLogic and PowerVault, helping customers better manage data growth, reduce storage costs and dramatically simplify the management of IT infrastructure.

According to Dell, Compellent Fluid Data technology combines a powerful data movement engine, intelligent software and modular hardware that could help cut costs up to 80 percent.

"Compellent complements our storage portfolio by providing next-generation storage solutions and proactive support that help enterprise customers optimize and automate the management and protection of their data," said Brad Anderson, senior vice president, Dell Enterprise Product Group.

"Dell continues to invest in areas that help customer's efficiently manage their massive data growth and provide the leading enterprise solutions for the virtual era," Anderson added.

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