A hostile take-over may, from time to time, seem like corporate pirates sailing the high rise sea’s of business, raiding the towering headquarters of those unlucky enough to pass by. Thankfully not all corporate mergers take the form of a Monty Python hostile take-over, some just make sense.
Take for example the latest rumor, IBM has approached RIM with talk of acquisition. IBM is very interested in RIM’s Enterprise division which is responsible for the companies e-mail and messaging server software, along with the clients that use it of course. The key to RIMs success in Enterprise revolves around secrets staying that way. With advanced encryption algorithms integrated into the platform RIM has the only widely available and truly secure communications platform.
While RIM’s is a perfect fit for IBM, RIM’s market value is the major factor making RIM such an attractive target for take-over. The Enterprise Division is estimated to be worth between $1.5bn and $2.5bn while RIM’s entire market capitalization is only $4.17bn a mere 5% of its peak value in 2008. The tech bargain of the year.