Saturday, October 10, 2015
Submit your own News for
inclusion in our Site.
Click here...
Breaking News
ITC Says Samsung Did Not infringe Nvidia's Patents
Firefox To Switch Away From Plugins
ARCHOS and Sikur Ensure Your Privacy with GranitePhone
Apple Removes Apps From Online Store
PC Shipments Kept Falling In 3Q
Apple Says Battery Tests For iPhone 6s Lineup May Be Misleading
Qualcomm Showcases 24-core Server Chip
AT&T Customers Allowed To Make Calls Over Wi-Fi
Active Discussions
How to back up a PS2 DL game
Copy a protected DVD?
roxio issues with xp pro
How to burn a backup copy of The Frozen Throne
Help make DVDInfoPro better with dvdinfomantis!!!
Copied dvd's say blank in computer only
menu making
Optiarc AD-7260S review
 Home > News > General Computing > Dell to...
Last 7 Days News : SU MO TU WE TH FR SA All News

Tuesday, February 05, 2013
Dell to Be Acquired By Its Founder And and Silver Lake For $24.4 billion

Michael Dell will take Dell Inc private in a $24.4 billion deal - the biggest leveraged buyout since the financial crisis.

Dell Inc. has signed a definitive merger agreement under which Michael Dell, Dell's Founder, Chairman and Chief Executive Officer, in partnership with private equity firm Silver Lake, will acquire Dell.

Under the terms of the agreement, Dell stockholders will receive $13.65 in cash for each share of Dell common stock they hold, in a transaction valued at approximately $24.4 billion. The price represents a premium of 25 percent over Dell's closing share price of $10.88 on Jan. 11, 2013, the last trading day before rumors of a possible going-private transaction were first published; a premium of approximately 35 percent over Dell's enterprise value as of Jan. 11, 2013; and a premium of approximately 37 percent over the average closing share price during the previous 90 calendar days ending Jan. 11, 2013. The buyers will acquire for cash all of the outstanding shares of Dell not held by Mr. Dell and certain other members of management.

The transaction will be financed through a combination of cash and equity contributed by Mr. Dell, cash funded by investment funds affiliated with Silver Lake, cash invested by MSD Capital, L.P., a $2 billion loan from Microsoft, rollover of existing debt, as well as debt financing that has been committed by BofA Merrill Lynch, Barclays, Credit Suisse and RBC Capital Markets and cash on hand. There is no financing condition.

"Microsoft has provided a $2 billion loan to the group that has proposed to take Dell private," Microsoft said in a statement. "Microsoft is committed to the long term success of the entire PC ecosystem and invests heavily in a variety of ways to build that ecosystem for the future," the company added.

Mr. Dell said: "I believe this transaction will open an exciting new chapter for Dell, our customers and team members. We can deliver immediate value to stockholders, while we continue the execution of our long-term strategy and focus on delivering best-in-class solutions to our customers as a private enterprise. Dell has made solid progress executing this strategy over the past four years, but we recognize that it will still take more time, investment and patience, and I believe our efforts will be better supported by partnering with Silver Lake in our shared vision. I am committed to this journey and I have put a substantial amount of my own capital at risk together with Silver Lake, a world-class investor with an outstanding reputation. We are committed to delivering an unmatched customer experience and excited to pursue the path ahead."

"Michael Dell is a true visionary and one of the preeminent leaders of the global technology industry," said Egon Durban, a Silver Lake Managing Partner. "Silver Lake is looking forward to partnering with him, the talented management team at Dell and the investor group to innovate, invest in long-term growth initiatives and accelerate the company's transformation strategy to become an integrated and diversified global IT solutions provider."

Following completion of the transaction, Mr. Dell, who owns approximately 14 percent of Dell's common shares, will continue to lead the company as Chairman and Chief Executive Officer and will maintain a significant equity investment in Dell by contributing his shares of Dell to the new company, as well as making a substantial additional cash investment. Dell will continue to be headquartered in Round Rock, Texas.

The transaction is subject to other customary conditions, including receipt of required regulatory approvals, in addition to the Dell stockholder approvals described above. The transaction is expected to close before the end of the second quarter of Dell's FY2014.

Dell is struggling to re-ignite growth. As a private company, Michael Dell could be more flexible in managing it, although the challenges in the PC market remain.

Amazon Introduces Coins For Kindle Users        All News        Logitech Introduces Keyboard for the iPad mini
Amazon Introduces Coins For Kindle Users     General Computing News      Samsung to Invest $1.1 Billion in New Ventures

Get RSS feed Easy Print E-Mail this Message

Related News
Dell Releases Windows 10 XPS Devices
Dell May Buy Data Storage Company EMC: reports
Dell To Invest $125 Billion in China
Microsoft and Dell Partner to Deliver Windows 10 devices And Support to the Enterprise
Alienware Brings Liquid Cooling and Dynamic Overclocking to Holiday Lineup
Dell Releases TLC-based Flash Storage Arrays
Dell Introduces The Fully Rugged Latitude 12 Tablet
Dell Delivers New PowerEdge C-Series Platform
Computex: New Dell Inspiron Laptops, 2-in-1 and Desktop Devices For Everyday Computing Needs
Dell Introduces New Wireless Docking Solution
Dell Introduces New Servers to Accelerate Enterprise Applications
Dell Venue 10 7000 Tablet Releasd With A 3D Camera, OLED screen

Most Popular News
Home | News | All News | Reviews | Articles | Guides | Download | Expert Area | Forum | Site Info
Site best viewed at 1024x768+ - CDRINFO.COM 1998-2015 - All rights reserved -
Privacy policy - Contact Us .