Dell Makes Case to Go Private in Grim Filing
Dell Inc. is deciding whether or not to go private by accepting a buyout offer. Dell Inc. is losing a lot of business because it is a part of a downward moving industry. A lot of Dell’s products are becoming unpopular when competing with new technology such as smartphones and tablets. This is especially evident when you look at its PCs, Dells main product. Unfortunately for Dell, their sales of PCs have been struggling due to their competitors.
Dell’s stock closed at $14.33 on Thursday. Both Blackstone Group LP and Carl Icahn are interested in purchasing the company. Blackstone offered $14.25 a share while Mr. Icahn offered $15 per share for up to 58% of the company’s shares. Private equity firm Silver Lake Partners offered $13.65 a share. If Mr. Dell agrees to Silver Lakes offer, he will remain CEO, own a controlling stake in the company and will receive around $150 million in stock options.