Some M&A deals are controversial in court. When Broadcom Inc (NASDAQ:AVGO) announced it had reached an agreement to acquire VMware, Inc. (NYSE:VMW) in late May, S&P Global Market Intelligence determined that there were no obvious and immediate synergies between the two companies from a technical and product point of view, but also from a cultural point of view.
S&P Global Market Intelligence’s 451 research unit decided to survey several hundred technology industry leaders to get their take on the business and got a strong sense of how important VMware is to its users. The majority of the survey participants Do not think of the company’s software as legacy terms, rather see them as supporting their critical IT systems and requiring extensive expertise and continuous innovation to ensure their long-term future. The top opinion expressed from the survey directed to the purchaser is “Don’t break VMware”.