Bethesda's Virtustream Sold for $1.2 Billion

>>News Alerts: Subscribe to a free email newsletter: BETHESDA •ROCKVILLE • SILVER SPRING

Bethesda-based cloud computing company Virtustream is being purchased for $1.2 billion by Massachusetts-based EMC Corporation, company officials said Tuesday.

When the transaction closes, Virtustream will form EMC’s new managed cloud services business to help customers move all applications to cloud-based IT environments, according to a press release.

Virtustream CEO Rodney Rogers will report to Joe Tucci, EMC chairman and CEO.

“Virtustream is an exceptional company and this is a critical and transformative acquisition for EMC in one of the industry’s fastest-growing and most important sectors,” Tucci said in a statement. “We could not be more delighted that Virtustream will be joining the EMC Federation family. It’s a game changer.”

One of the world’s fastest-rising cloud software and services companies, Virtustream is used to migrate, run and manage mission-critical applications in the cloud. The company’s customers the Coca-Cola Company, Domino Sugar, Heinz, Hess Corporation, Kawasaki, Lexmark, and Scotts Miracle-Gro.

Virutstream was founded in 2009 by Rodney Rogers and president and CTO Kevin Reid.

“Virtustream has established itself as an industry leader and innovator for running mission-critical enterprise applications in the cloud,” Rogers said in a statement. “We’re proud to be joining the EMC Federation where our combined capabilities, products and services will allow us to accelerate our vision of delivering the platform of record for enterprise systems, and address the complete breadth of cloud computing needs.”

»PHOTO: Virtustream CEO Rodney Rogers, from company website