VMware agreed to acquire AirWatch, a leading supplier of enterprise mobile management and security solutions, for approximately $1.175 billion in cash and approximately $365 million of installment payments and assumed unvested equity.
AirWatch, which is headquartered in Atlanta, offer Mobile Device Management, Mobile Application Management and Mobile Content Management. It claims more than 10,000 customers globally and has about 1,600 employees across nine global offices. AirWatch is privately-held.
VMware said the acquisition expands its End-User Computing group. The AirWatch team will continue to report to founder and chief executive officer John Marshall as part of VMware's End-User Computing group, led by Sanjay Poonen, EVP and GM. Alan Dabbiere, AirWatch's co-founder and chairman, will be overseeing a new AirWatch operating board which will report to Pat Gelsinger, VMware CEO.
The acquisition will be funded through a combination of balance sheet cash and proceeds from approximately $1B of additional debt to be provided by EMC. VMware will also continue with its ongoing share buyback program.
"Our vision is to provide a secure virtual workspace that allows end users to work at the speed of life," said Sanjay Poonen, EVP and GM of VMware's End-User Computing group. "The combination of AirWatch and VMware will enable us to deliver unprecedented value to our customers and partners across their desktop and mobile environments."
http://www.vmware.com
http://www.air-watch.com
AirWatch, which is headquartered in Atlanta, offer Mobile Device Management, Mobile Application Management and Mobile Content Management. It claims more than 10,000 customers globally and has about 1,600 employees across nine global offices. AirWatch is privately-held.
VMware said the acquisition expands its End-User Computing group. The AirWatch team will continue to report to founder and chief executive officer John Marshall as part of VMware's End-User Computing group, led by Sanjay Poonen, EVP and GM. Alan Dabbiere, AirWatch's co-founder and chairman, will be overseeing a new AirWatch operating board which will report to Pat Gelsinger, VMware CEO.
The acquisition will be funded through a combination of balance sheet cash and proceeds from approximately $1B of additional debt to be provided by EMC. VMware will also continue with its ongoing share buyback program.
"Our vision is to provide a secure virtual workspace that allows end users to work at the speed of life," said Sanjay Poonen, EVP and GM of VMware's End-User Computing group. "The combination of AirWatch and VMware will enable us to deliver unprecedented value to our customers and partners across their desktop and mobile environments."
http://www.vmware.com
http://www.air-watch.com
- VMware also announced preliminary Q4 2013 financial results for the fourth quarter of 2013: the company now expects Q4 2013 revenues to be $1.48 billion, an increase of 15% from the fourth quarter of 2012. Excluding revenues attributable to Pivotal Software Inc. and all divestitures that occurred in 2013, revenues for the fourth quarter are expected to have increased 20% from the fourth quarter of 2012.
"I'm delighted with our overall Q4 performance, with total revenue expected to exceed the high end of our guidance range," said Jonathan Chadwick, chief financial officer and executive vice president, VMware. - In February 2013, AirWatch received $200 million in Series A funding. Investors included Accel Partners and Insight Venture Partners.