IBM to Acquire Texas Memory Systems

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By Trey Thoelcke Published
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International Business Machines Corp. (NYSE: IBM) has announced that it will acquire Texas Memory Systems, a privately held company that focuses on high-performance Flash storage. IBM said the Houston-based company’s products will boost its approach to information technology.

Texas Memory Systems (TMS) employs about 100 and offers Flash-based rack systems and interconnect cards. The products are designed to help companies improve performance and reduce server sprawl, power consumption and floor space requirements. IBM said it will invest in and support the TMS product portfolio — particularly its RamSam line of systems and PCIe cards — but over time will look to integrate the Flash technologies into its own hardware, such as Smarter Storage and its latest PureSystems.

TMS said in December that it was looking to be acquired by a larger company so it could sell more of its products to corporate customers.

Financial terms of the deal were not disclosed. The deal is expected to close later in 2012.

Shares of IBM are trading up fractionally at $198.95 in early trading. The 52-week trading range is $157.13 to $210.69. Thomson Reuters had a consensus analyst price target of $213.50 before this news.

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About the Author Trey Thoelcke →

Trey has been an editor and author at 24/7 Wall St. for more than a decade, where he has published thousands of articles analyzing corporate earnings, dividend stocks, short interest, insider buying, private equity, and market trends. His comprehensive coverage spans the full spectrum of financial markets, from blue-chip stalwarts to emerging growth companies.

Beyond 24/7 Wall St., Trey has created and edited financial content for Benzinga and AOL's BloggingStocks, contributing additional hundreds of articles to the investment community. He previously oversaw the 24/7 Climate Insights site, managing editorial operations and content strategy, and currently oversees and creates content for My Investing News.

Trey's editorial expertise extends across multiple publishing environments. He served as production editor at Dearborn Financial Publishing and development editor at Kaplan, where he helped shape financial education materials. Earlier in his career, he worked as a writer-producer at SVE. His freelance editing portfolio includes work for prestigious clients such as Sage Publications, Rand McNally, the Institute for Supply Management, the American Library Association, Eggplant Literary Productions, and Spiegel.

Outside of financial journalism, Trey writes fiction and has been an active member of the writing community for years, overseeing a long-running critique group and moderating workshop sessions at regional conventions. He lives with his family in an old house in the Midwest.

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