IBM and Red Hat, a provider of open source cloud software, have reached a definitive agreement under which IBM will acquire all of the issued and outstanding common shares of Red Hat for $190 per share in cash, representing a total enterprise value of approximately $34 billion.
“The acquisition of Red Hat is a game changer,” said Ginni Rometty, IBM chairman, president and CEO. “IBM will become the world’s number one hybrid could provider, offering companies the only open cloud solution that will unlock the full value of the cloud for their businesses.”