Dell Buys Cloud Management Provider Enstratius
Enstratius' "cloud-agnostic" offerings include a self-service catalogue and design and management tools that businesses can leverage to create and deploy applications across one or more clouds. The technology dovetails with other software offerings from Dell, including Active System Manager gained via the Gale acquisition, Quest ONE identity and access management, Foglight for performance monitoring, and the Boomi integration platform. Enstratius' software also complements data-protection software from Dell, including AppAssure and NetVault. Dell is the world's third-largest PC maker. However, with sales in the global PC market continuing to fall, Dell for the past several years has been trying to transform into an enterprise IT solutions provider and reduce its dependency on the PC space. That has included spending billions to buy companies in such areas as software, storage, networking and security. The transformation effort also is behind founder and CEO Michael Dell's efforts to—in conjunction with equity firm Silver Lake Partners—buy the company for about $24.4 billion and take it private. Michael Dell has argued that doing so would enable him and other Dell executives to accelerate the process without having to worry about Wall Street analysts or the pressure to meet quarterly financial numbers. "If we were to remain a public company, I believe it would be more difficult to move fast and aggressively because of the short-term focus of the market," Michael Dell said in a letter to employees in April. "The fact is, we can't afford not to continue investing for the future when you look at the opportunity ahead for us and our customers."
The leveraged buyout bid has run into roadblocks from large investors who believe the proposed $13.65-per-share price is too low and who have threatened a proxy battle.