IBM makes the biggest purchase of its history to pay 29,816 million euros for Red Hat

International Business Machines (IBM) has reached a «definitive» agreement for the acquisition of Red Hat, an open source software provider, for 34,000 million dollars (29,816 million euros) in cash, according to the multinational , which closes the biggest purchase of its history. «The acquisition of Red Hat changes the rules of the game, it changes everything in the cloud market,» said Ginni Rometty, president and CEO of IBM. Under the terms of the agreement, which must still be approved by Red Hat shareholders and regulators, IBM will pay $ 190 in cash for each Red Hat share, representing a premium of 62.8% over the closing price of the titles of the company last Friday. Once the transaction is closed, which is expected to occur in the second half of 2019, Red Hat will become part of IBM’s ‘Hybrid Cloud’ team as a distinct unit, preserving the independence and neutrality of the company’s commitment to the development of open source, as well as its product portfolio. «Joining forces with IBM will provide us with greater scale, resources and capabilities to accelerate the impact of open source as the basis of digital transformation by bringing Red Hat even to a larger audience, preserving its unique culture and unwavering commitment to innovation.