Dell sells itself to Michael Dell and Silver Lake in a $24.4 billion deal
05 February 2013
Dell Inc today said it has reached a deal to take itself private, in a $24.4 billion buyout by its founder, chairman and chief executive Michael Dell in partnership with global technology investment firm Silver Lake.
Under the terms of the deal, Dell stockholders will receive $13.65 in cash for each share of Dell common stock, which values the company at approximately $24.4 billion.
The price represents a premium of 25 per cent over Dell's closing share price of $10.88 on 11 January 2013, the last trading day before the news of Dell going private was first published.
The share price is also at a premium of approximately 35 per cent over Dell's enterprise value as of 11 January 2013; and a premium of approximately 37 per cent over the average closing share price during the previous 90 calendar days ended 11 January 2013.
The buyers will acquire all outstanding shares not held by Michael Dell and certain other members of the management, for cash.
The Dell Board of Directors acting on the recommendation of a special committee of independent directors unanimously approved a merger agreement under which Michael Dell and Silver Lake Partners will acquire Dell and take the company private