Icahn, Southeastern Mull Potential Dell CEOs

Jun 10 2013 | 10:10am ET

Carl Icahn is planning for Dell Inc.'s future without its founder and CEO, Michael Dell.

Icahn and his partner, Southeastern Asset Management, are locked in a battle over Dell's future with Michael Dell and his partners, led by private-equity firm Silver Lake Partners. The latter have proposed a $24.4 billion buyout to take Dell private, an offer accepted by Dell's board. The former call that deal "the great giveaway" and have suggested a leveraged recapitalization instead.

Icahn and Southeastern still have a long way to go to make that recapitalization a reality, starting with the defeat of the Michael Dell-Silver Lake deal in a shareholder vote next month, followed by a successful proxy battle to replace Dell's board of directors. But Icahn and Southeastern are already mulling who would lead a Dell under their control.

The two are putting together a shortlist of potential CEOs to replace Dell. Among the names to make the cut are Cisco Systems board member Michael Capellas, former IBM executive Michael Daniels, Oracle Corp. President Michael Hurd and Hewlett-Packard's personal-computer chief, Todd Bradley, Reuters reports.

Dell has called the Icahn-Southeastern deal "unrealistic" and claims it has a $3.9 billion funding gap. But several large Dell investors are siding with the two, including T. Rowe Price and Yacktman Asset Management.

"We are going to vote against the Silver Lake deal," Don Yacktman said. "Southeastern and Icahn make a strong case to go the other way."


In Depth

Fundraising for Mid-Sized PE Funds: Should You Use a Registered B/D?

Dec 6 2016 | 7:18pm ET

When does a fund sponsor need to use a registered broker/dealer when raising capital...

Lifestyle

Trump Attends 'Villains and Heroes' Costume Party Dressed As...Himself

Dec 5 2016 | 11:16pm ET

U.S. President-elect Donald Trump attended a "Villains and Heroes" costume party...

Guest Contributor

A Hard Look At Your ‘Soft’ Hedge Fund Marketing Information

Dec 8 2016 | 9:03pm ET

Conventional wisdom holds that due diligence examines quantitative as well as qualitative...

 

From the current issue of

Since the inception of Modern Trader, a core editorial theme has centered on the wisdom and power of crowds. Editorial emphasis has focused on companies and projects engaged in the collection and analysis of information. 

AVAILABLE NOW at BARNES & NOBLE

NEWSTAND LOCATOR