Printed from http://www.electronista.com

Icahn continues pursuit of Dell, refuses to take proxy fight off table

updated 04:46 pm EDT, Sat April 6, 2013

Icahn still pursuing all options in negotiations with the special committee

Carl Icahn is continuing his quest to take a part in the future of Dell, or at least make a hefty profit off the effort the company is making to go private. The investor is refusing to rule out the possibility of a proxy fight to compel Dell to pay a large dividend to shareholders, despite the board's request that he cease the threat and make a formal bid for the company.

In an interview with the Wall Street Journal, Icahn confirmed that he had several options for the company, including the dividend proposal. He has also made an initial bid to purchase 58 percent of the company. "No matter how much they are willing to pay to reimburse me I'm not going to give up the right to put in a bid that I think will be compelling to shareholders, even if the board doesn't like it," Icahn said in the interview.

Icahn has previously demanded Dell pay $15.7 billion in special dividends above the buyout price, or risk a proxy fight. Icahn's proposed dividend of $9 per share represents a 67 percent premium to existing shareholders above the current $13.65 offer on the table for the leveraged buyout proposed by Michael Dell, Microsoft, and investment company Silver Lake.

The existing privatization deal requires the majority of the shareholders (not including Michael Dell's shares) to vote in favor of the payout. Southeastern Asset Management, another vocal opponent of the buyout, would lose at least $825 million if the deal completes. Dell has dramatically cut its forecasts for 2013 operating profit by $700 million to $3 billion, casting further shadows over any deal.



By Electronista Staff
Post tools:

TAGS :

toggle

Comments

Login Here

Not a member of the MacNN forums? Register now for free.

toggle

Network Headlines

toggle

Most Popular

Sponsor

Recent Reviews

Samsung Galaxy S 5

The Samsung Galaxy S5 might be the phone that Android users have been craving for some time. Information coming out of Mobile World Co ...

STM Trust technology bag

The search for a good messenger bag that doubles as a laptop bag is something many travelers find themselves facing at least once. Bet ...

PenClic Bluetooth mouse

Windows 8 aside, computer users have been trained that a mouse is the proper way to navigate through the desktop for many years now. T ...

Sponsor

toggle

Most Commented

 
toggle

Popular News