Bekker's Blog

Blog archive

Dell Privatization Drama Goes On

The go-shop period on Michael Dell's bid to take Dell private ended quietly on Friday. Turns out the drama wasn't over, and probably won't be for a long time.

This morning, the special committee of Dell's board of directors announced that there are two new offers to compete with Michael Dell's proposal (in partnership with Silver Lake Partners and with Microsoft's backing) to pay $13.65 a share, valuing the company at $24.4 billion.

The Blackstone Group is behind one new proposal that would offer $14.25 a share. Activist investor Carl Icahn, who had already publicly complained about Michael Dell's original offer, is behind the other offer. Icahn's proposal is a complex arrangement involving his current 4.6 percent stake in Dell, equity commitments, an offer of $15 a share up to $2 billion, cash equity financing and other elements.

According to Dell's special committee, either of the proposals could be superior to Michael Dell's offer, but it's too soon to tell. "The Special Committee has not determined that either the Blackstone proposal or the Icahn proposal in fact constitutes a superior proposal under the existing merger agreement and neither is at this stage sufficiently detailed or definitive for such a determination to be appropriate," the committee noted in a statement this morning.

Given the amount of money involved, and the participation of the tactically vocal Carl Icahn, we could be looking at a long period of uncertainty around Dell.

Related:

Posted by Scott Bekker on March 25, 2013


Featured

  • Microsoft Offers Support Extensions for Exchange 2016 and 2019

    Microsoft has introduced a paid Extended Security Update (ESU) program for on-premises Exchange Server 2016 and 2019, offering a crucial safety cushion as both versions near their Oct. 14, 2025 end-of-support date.

  • An image of planes flying around a globe

    2025 Microsoft Conference Calendar: For Partners, IT Pros and Developers

    Here's your guide to all the IT training sessions, partner meet-ups and annual Microsoft conferences you won't want to miss.

  • Notebook

    Microsoft Centers AI, Security and Partner Dogfooding at MCAPS

    Microsoft's second annual MCAPS for Partners event took place Tuesday, delivering a volley of updates and directives for its partners for fiscal 2026.

  • Microsoft Layoffs: AI Is the Obvious Elephant in the Room

    As Microsoft doubles down on an $80 billion bet on AI this fiscal year, its workforce reductions are drawing scrutiny over whether AI's ascent is quietly reshaping its human capital strategy, even as official messaging avoids drawing a direct line.