Dell holds $1 Billion for "Mid-Market" Opportunities

Dell Inc has earmarked US$1 billion for acquisitions in mid-market opportunities, including small and medium businesses in the public sector, education and the healthcare industry. 

The company is said to focus on "mid-market opportunities", including small and medium businesses in the public sector, education and the healthcare industry as it looks to achieve long-term revenue growth in the range between 5 per cent and 7 per cent. Acquisitions will continue to be critical focus of strategic investment activities and will follow a "strong cash flow generation model". 

Dell had about US$15.2 billion in cash and investments at the end of the first quarter. Mid-market companies - enterprises with up to 5,000 employees - are taking up a larger chunk of the global IT market, mainly in the emerging markets.

Dell is looking to further acquire firms to expand its product portfolio and intellectual property. In its storage division, the company expects revenues of US$4 billion to US$5 billion by fiscal 2015, with an annual growth rate of 15 per cent to 20 per cent. For services, revenues for fiscal 2015 are projected to be between US$10 billion and US$11 billion, with an annual growth rate of 7 per cent to 9 per cent.