EMC Corp. on Wednesday said that it could complete its proposed acquisition of Documentum Inc. on Dec. 18, following the special meeting of Documentum shareholders that day.
Under the proposal, Documentum stockholders would receive 2.175 shares of EMC common stock for each share of Documentum common stock. EMC estimated the transaction at $1.7 billion.
EMC also noted that the addition of Documentum could bring an additional $30 million to $35 million in revenues into EMC's coffers in the fourth quarter. The information storage firm added that the gain would increase anticipated fourth-quarter revenues to $1.8 billion and $1.825 billion. The new entity also would have more than $2 billion in total software license and support revenues.
EMC would operate Documentum as a software division, with Documentum remaining at its current Pleasanton, Calif. headquarters and led by CEO David DeWalt.
EMC says by integrating Documentum's intelligent content management technology with EMC's software for data protection, storage management and information management, as well as its networked storage platforms, customers "will be able to better align their content with their information infrastructure." It also would create "a total information lifecycle management solution for managing unstructured content, from creation and use to archive and disposal."