Dell Shareholders Favor $25 Billion USD Merger
September 12, 2013 4:26 PM
Michael Dell can finally take his company private with Silver Lake Partners
Michael Dell, founder of Dell Inc., has been trying to
take the company private
for a while now, and it looks like he has succeeded.
Dell's shareholders approved Michael Dell's $25 billion offer to take the company private. He'll acquire the company along with global technology investment firm Silver Lake Partners.
Dell stockholders will receive $13.75 in cash for each share of Dell common stock they hold. They'll also receive payment of a special cash dividend of $0.13 per share, for total of $13.88 per share in cash.
“I am pleased with this outcome and am energized to continue building Dell into the industry’s leading provider of scalable, end-to-end technology solutions,” said Michael Dell. “As a private enterprise, with a strong private-equity partner, we’ll serve our customers with a single-minded purpose and drive the innovations that will help them achieve their goals.”
This is great news for Michael Dell, who wants to
take the company private
and fix it outside of the public's eye. He was also up against billionaire Carl Icahn for ownership of the company.
Back in July, Icahn provided $3.42 billion (66 percent) of the debt financing for the bid, and secured $5.2 billion total along with investment bank Jefferies & Co.
The Associated Press reported that Icahn wrote a letter to shareholders saying that he ""still thinks Michael Dell's bid to take his company private undervalues the business and freezes shareholders out of any future gains. But Icahn also said it would be 'almost impossible' to defeat that offer." Icahn announced he was backing out of the bid for Dell earlier this week.
The transaction should be completed before the third quarter of Dell’s fiscal year 2014, and it will have to receive regulatory approval.
Dell will continue to be headquartered in Round Rock, Texas.
Michael Dell is taking the company private for good reason. It lost one-third of its value last year alone. PC sales are slow since PC demand can't keep up with that of mobile devices, and Dell has to hear about its financial failures from shareholders each quarter.
In May, the company reported a 79 percent
decline in profits
, with net income falling to $130 million from $635 million compared to the same quarter of 2012. This is mainly due to a shrinking PC market.
"We basically took a look at this situation and said, this is bullshit." -- Newegg Chief Legal Officer Lee Cheng's take on patent troll Soverain
Dell CEO Told to Boost Offer Value or Lose Chances of Going Private
July 3, 2013, 11:13 AM
Dell Profits Shrink as Contenders Battle to Buyout Company
May 17, 2013, 9:32 AM
Report: Dell May be Going Private
January 14, 2013, 8:34 PM
Apple Watch NikeLab Limited Edition unveiled.
April 22, 2017, 6:20 AM
What is the Apple’s iPhone 8 specifications and release date?
April 14, 2017, 5:43 AM
Xiaomi Mi Pad 3 tablet with Hexa –Core SoC, Android Marshmallow
April 6, 2017, 6:40 AM
Vivo launches V5 Plus IPL edition smartphone
April 4, 2017, 11:10 AM
Samsung S8 and S8 Plus: On Sale April 21 at Major Wireless Dealers
March 30, 2017, 7:35 AM
Are You in the Market for Earphones?
March 24, 2017, 7:35 AM
Most Popular Articles
Surface Pro 5 Rumors - New Release Date and Price
April 22, 2017, 6:45 AM
SAPPHIRE PULSE Radeon RX 580 8GD5 – Great Value for the Money
April 20, 2017, 7:47 AM
Dell Inspiron 17 7000 – A Premium Laptop featuring 7th Gen Intel Core i7 in a 2-in-1 Frame.
April 19, 2017, 7:45 AM
Tesla will announce electric lorry in September
April 19, 2017, 6:20 AM
Meet the Smartphone with four cameras - Alcatel Flashphone
April 5, 2017, 11:20 AM
Latest Blog Posts
Google Co-Founder, Sergey Brin has an Airship
Apr 26, 2017, 6:43 AM
Samsung Galaxy S8 and S8 Plus – Lots of Glass that Breaks Easily
Apr 25, 2017, 7:20 AM
Samsung Galaxy S8 – Warning for Pet Owners
Apr 24, 2017, 5:59 AM
Sound Bars and the Costs?
Apr 23, 2017, 6:30 AM
Link your Brain to Your Computer – In Four Years…Maybe
Apr 22, 2017, 7:03 AM
Google Home can now identify users by their voice.
Apr 21, 2017, 7:15 AM
Amazon Lex – Now Available for Developers.
Apr 20, 2017, 6:58 AM
You can now use Instagram offline on your Android Smartphone
Apr 19, 2017, 8:00 AM
Now you can livestream to YouTube from your mobile device.
Apr 18, 2017, 8:05 AM
Google Home – Is It a Spy Device?
Apr 17, 2017, 7:30 AM
Apple added to self –driving test permit list
Apr 15, 2017, 6:21 AM
Project Scorpio – Coming on June 11
Apr 14, 2017, 6:20 AM
Looks Like Samsung Has Been Forgiven.
Apr 13, 2017, 6:50 AM
United Airlines - Blasted on China’s Social Network and the Stock Market
Apr 12, 2017, 6:50 AM
Amazon's Third-Party Sellers Hacked
Apr 11, 2017, 6:25 AM
Microsoft Surface Pro5 Details Revealed
Apr 9, 2017, 6:41 AM
Own An Android Phone? Then you could be hacked over Wi-FI
Apr 7, 2017, 6:47 AM
Apple confirms iOS 10.3 bug and its effect on iCloud Services
Apr 6, 2017, 6:30 AM
Apple Rolls Out New Version of Apple Music
Apr 5, 2017, 10:35 AM
Apple in the News
Apr 4, 2017, 9:03 AM
Apple iPhones Will Soon Feature Graphics Chips Designed BY Apple
Apr 3, 2017, 6:23 AM
More Blog Posts
Copyright 2017 DailyTech LLC. -
Terms, Conditions & Privacy Information