Dell’s $25 Billion Buyout To Take The Company Private Approved
Michael Dell clinched shareholder approval on Thursday for his $25-billion offer to buy and take Dell Inc. private, ending months of conflict with the company’s largest investors and removing the uncertainty surrounding the world’s No. 3 PC maker.
The results of a shareholder vote were just announced moments ago at a special meeting of shareholders in Round Rock, Texas. The final vote tallies haven’t been released yet, but CNBC, citing sources familiar with the result, have pegged the vote in favor at 65 percent to 35 percent. A final tally will be read out a little later, as the meeting is still under way.
As AllThingsD reports, the final buyout price is $13.75 per share, and includes a 13 cent per share special dividend, for a total price of $13.88, or $24.9 billion. The deal also guarantees an eight cent per share quarterly dividend when Dell next reports earnings, in November.
The path to victory was practically guaranteed today because Dell’s chief competitor, Carl Icahn, had backed out of his bid to take the company in another direction. Earlier this week, Icahn announced that he has abandoned plans to offer an alternative option to shareholders, saying that it would be “impossible” for him to win.
In a statement on the vote, Michael Dell said that he was “pleased” with the shareholder vote, adding that the vote will now allow his company to move forward to “serve our customers.”
[Via]
