Dell Set To Delay Deal Vote Again

Jul 23 2013 | 2:42pm ET

Dell Inc. appears poised to postpone a shareholder vote on its proposed $24.4 billion private-equity-backed buyout as fissures emerge among the troubled computermaker's would-be owners.

Stockholders were to vote by last Thursday, but Dell adjourned the meeting until tomorrow, hoping to persuade skeptical investors to accept the deal. Some 22% of eligible shares were not voted by last week's deadline, and a further extension would indicate that the deal still lacks the necessary support.

Should the deal fail, it's not clear how much Silver Lake Partners, which is working with company founder Michael Dell to buy the eponymous company, would be entitled to. The p.e. firm believes it should get a $450 million breakup fee if an alternative plan pushed by Carl Icahn—a $14 billion share buyback program—succeeds within a year. Michael Dell and the special committee of Dell's board disagree, arguing that Icahn's plan isn't a competing buyout offer, and that Silver Lake would be entitled only to its expenses.

For his part, Icahn is keeping up his attacks on the deal in another open letter to the special committee, calling it "one of the most startling examples" of "unconscionable boards" of directors.


In Depth

Q&A: Neil Azous Talks Global Macro Investing

Nov 24 2014 | 12:41pm ET

Neil Azous is the founder and managing member of Rareview Macro, an advisory firm...

Lifestyle

Griffin Selling Chicago Apartment

Nov 26 2014 | 11:40am ET

Citadel Investment Group’s Kenneth Griffin is making clear to his estranged wife...

Guest Contributor

Why The Big Money Is Going To Europe

Nov 14 2014 | 6:03am ET

Peer-to-peer lending was invented with the individual investor in mind. But despite...

 

Sponsored Content

    For Hedge Funds, Mastering Data Is Key To Success

    Nov 4 2014 | 9:45am ET

    Data management is important to every business, but for hedge funds, it is critical. FINalternatives recently asked Peter Sanchez, CEO of Northern Trust Hedge Fund Services, how fund managers can deal with the demands of managing data while at the same time remain transparent and abide by operational best practices. Read more…

Editor's Note

    Guidelines for Guest Articles

    Oct 22 2014 | 9:46am ET

    We are always looking for guest articles from hedge fund managers and buy-side firms.

    If you are interested in submitting a contributed piece for possible publication on FINalternatives, please take a look at the specs. Read more…

 

Futures Magazine

November 2014 Cover

Building a better market

Reg NMS created a huge bifurcation in equity markets and while much of what has followed has been positive, in terms of lower fees and greater liquidity, many traders would like to see the market come...

The Alpha Pages

TAP July/August 2014 Cover

The Alpha Pages Interview: Senator Rand Paul

Senator Paul sat down in the debut series of the Alpha Pages Interview to discuss the broken tax code, regulation surrounding Bitcoin, and his plans for the 2016 Presidential election.