...May 26, 2022 - Broadcom Inc. has announced an agreement to acquire VMWare Inc. for approximately $61 billion in cash and stock. - Broadcom has obtained commitments for $32 billion of new debt and will be assuming $8 billion of net debt from VMWare, leading to pro forma leverage of about 3x, excluding synergies. - We placed our '###-' issuer credit rating on Broadcom and all our ratings on the company's debt on CreditWatch with positive implications. - The CreditWatch placement reflects our view that this transaction will meaningfully improve the stability of Broadcom's operating performance by increasing its share of recurring software revenue. NEW YORK (S&P Global Ratings) May 26, 2022--S&P Global Ratings today took the rating actions listed above. This acquisition will double the share of revenue Broadcom derives from software sales to nearly 50%, improving stability and visibility into performance. VMWare's roughly $13 billion of revenue will significantly shift Broadcom's business mix...
