VMware and Pivotal Software are discussing an acquisition. About five years ago, Pivotal Software became even more detached from VMware and EMC Corporation (now Dell EMC). Currently, the majority of VMware and Pivotal Software are owned by Dell Technologies.
The companies say they are talking about an acquisition worth 15 dollars per share. That’s 80 percent more than the stock market value of Pivotal Software’s shares, writes Silicon Angle.
The two companies brought the news out by submitting documents on the acquisition to the US Securities and Exchange Commission (SEC). It states that Pivotal Software and VMware will negotiate final agreements to acquire all of Pivotal’s Class A shares.
A possible reason for the two companies to come back together is that Pivotal Software achieved poor financial results this year. The company was listed on the stock exchange in April 2018, which initially went quite well. In June, however, equities fell sharply after disappointing first quarter results. The turnover expectations for 2019 were also lowered at that time.
Pivotal Software’s main product is a commercial version of the open source Cloud Foundry platform. This version is called Pivotal Application Service and is used for software development.
The platform should make it easier for developers to build, test, deploy and scale apps that run on various cloud platforms.
Pivotal Software has been working closely with VMware for many years. Much of that work includes integrating the Kubernetes container orchestration manager into his platform. The two companies do this through their joint Pivotal Container Service. The service handles many complex configuration tasks, allowing developers to manage multiple Kubernetes clusters to scale.
In February this year, a new, stripped-down version of the Pivotal Container Service (PKS) was published. The service – Essential PKS – has been set up for companies that want to use a more modular approach when deploying software containers.
Essential PKS also lacks the integrated components of Enterprise PKS. This makes the service more suitable for customers who want a bare bones infrastructure. These infrastructures are easier to adapt.This news article was automatically translated from Dutch to give Techzine.eu a head start. All news articles after September 1, 2019 are written in native English and NOT translated. All our background stories are written in native English as well. For more information read our launch article.