IBM Closes Landmark Acquisition of Red Hat for $34 Billion

IBM Closes Landmark Acquisition of Red Hat for $34 Billion
The Siliconreview
04 October, 2019

Red Hat is now part of IBM. Red Hat in a recent press meet which was held on Thursday stated that they have closed the transaction under which IBM acquired all of the outstanding and common shares of the Red Hat for $190.0 per share in cash, representing a total equity value of approximately $34 billion.

This acquisition will redefine and bring about a new change in the field of cloud marketing and computing technology. Red Hat’s open hybrid cloud technologies will now be paired with the unmatched scale and depth of IBM’s innovation and industry expertise, I more than 175 countries. Together IBM and Red Hat will accelerate new innovations by offering a next-gen multi-cloud platform.

Based on multi-cloud technologies like Linux and Kubernetes, the platform will allow its clients and users to securely deploy, run, and manage data and its application on-premises as well as on private multiple public clouds. "Businesses are starting the next chapter of their digital reinventions, modernizing infrastructure and moving mission-critical workloads across private clouds and multiple clouds from multiple vendors," said GinniRometty, IBM chairman, president and CEO.

Joining forces with IBM gives Red Hat a new opportunity to bring more open source innovation to an even broader range of organizations and will enable the firm to scale up to meet the requirement in the field of hybrid cloud solutions that deliver true choice and agility stated Jim Whitehurst, president and CEO of Red Hat.