Dell is on the verge of selling its software division for more than $2 billion to investment groups Francisco Partners and Elliot Management Corp, according to sources cited by Reuters.
The deal will cover nearly all of Dell Technologies (Nasdaq: DELL)'s software assets, according to a Reuters report, including information technology management business Quest Software Inc. and data security provider SonicWall Inc. (Nasdaq: SNWL).
Dell is apparently looking to improve its balance-sheet position after agreeing last October to spend $67 billion on data storage company EMC Corp. (NYSE: EMC), which owns a controlling stake in cloud-computing company VMware Inc. (NYSE: VMW).
A deal to sell software assets -- which could be concluded as early as this week, according to the Reuters report -- would come weeks after Dell agreed to sell consulting business Perot Systems Corp. (NYSE: PER) to Japan's NTT Data Corp. for a fee of about $3 billion.
Dell has also been able to raise about $112 million from a public listing of SecureWorks Inc. , a cybersecurity unit, in April.
For more on Dell and EMC, see:
- NTT Data to Buy Dell's Services Arm for $3B+
- Dell Buys EMC for $67B in Biggest Tech Deal Ever
- EMC Cuts Jobs Ahead of Dell Takeover
- Dell Security Unit Files for IPO
- Dell-EMC-VMware Merger Could Push Comms to Kids' Table
— Iain Morris, , News Editor, Light Reading