EMC executive says breaking up company would be wrong thing to do
Reuters
Published Sep 29, 2015 07:39PM ET
EMC executive says breaking up company would be wrong thing to do
(Reuters) - EMC Corp (N:EMC), the data storage company targeted by activist hedge fund Elliott Management, should not be broken up because there are real revenue synergies that would be put at risk, one of its top executives said on Tuesday.
"We strongly believe breaking up is the wrong thing to do. We think having a better federation is the right way to create value," David Goulden, Chief Executive of EMC Information Infrastructure, the company's biggest division, told the Code/Enterprise Series conference in New York.
Elliott has been pressuring EMC to sell its stake in virtualization software maker VMware (N:VMW). A standstill agreement between Elliott and EMC was due to expire this month.
"We will continue to have an active dialogue with Elliott, as we do all of our shareholders," said Goulden.
EMC Chairman and Chief Executive Officer Joe Tucci is nearing retirement but has yet to specify the time of his departure. Commenting on the possibility of succeeding Tucci, Goulden said: "I love my job, it is the best one I have had. Beyond that, you will have to ask the board how they manage the process."
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Written By: Reuters
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