Western Digital is in the final stages of acquiring long time rival SanDisk after clearing the last regulatory hurdle. The announcement comes courtesy of the Chinese Ministry of Commerce, and allows the world’s largest storage device maker to further expand its business.
The acquisition is expected to cost Western Digital some $19 billion, and the company is saying that the deal will be closed by 12 May 2016. SanDisk’s shareholders had already voted and approved the transaction back in March; which left the two companies waiting on the go ahead from the Chinese government.
“We are pleased that the final regulatory approval has been received and we can now proceed with the planned combination with Western Digital,” said Sanjay Mehrotra, president and chief executive officer, SanDisk. “We thank our stakeholders for their support of this transaction and look forward to contributing to the success of Western Digital as it transforms into the leading storage solutions company.”
This acquisition will see SanDisk become a wholly owned subsidiary of Western Digital; and merge two of the largest storage solution providers in the world. SanDisk has also recently launched a series of new products in Malaysia, which shows that it isn’t exactly going away yet.
[Source: Business Wire]