Dell Files to Take Its SecureWorks Division Public Next Year

Privately held computing giant #Dell has filed paperwork with U.S. regulators to take its #SecureWorks division public in an IPO early next year.

Dell acquired SecureWorks in 2011, paying $612 million for the Atlanta-based cloud security outfit.

The filing shows that SecureWorks finished the 2015 fiscal year ended in January with $262 million in revenue and a net loss of $38.5 million. For the first nine months of the current fiscal year, revenue was $245 million with a loss of $57.5 million.

The filing doesn’t say how much Dell expects to raise with the offering beyond a $100 million amount that is probably just a placeholder. The proposed ticker symbol is SCWX.

The IPO is taking place against the backdrop of Dell’s proposed acquisition of storage company EMC. Dell has proposed to raise tens of billions in debt to pay for EMC. The proceeds from the offering could be used to help retire some of that debt after the deal closes next year. Dell is also looking to sell off assets like its Perot Systems IT outsourcing unit. Meanwhile, EMC is exploring the potential of taking its software subsidiary Pivotal public in an IPO next year.

http://recode.net/2015/12/17/dell-files-to-take-its-secureworks-division-public-next-year/