Dell Estimated to Cost Up To $25 Billion

According to the Wall Street Journal, Silver Lake Partners is leading the negotiations from the investor side and plans on borrowing up to $15 billion from banks to finance the deal. The report suggests that Dell founder Michael Dell will not be cashing in its share holdings, but use their current value of about $3.5 billion for a stake in the buyout. Silver Lake will need at least $2 billion from its own sources to purchase Dell.

The speculated reason for the buyout is the ability to take Dell private again and allow Michael Dell to restructure the company faster than it would be possible if the company is publicly traded and change is slowed down by the interests of other share holders. If the buyout happens, Dell could be seeing the most dramatic change in business and product strategy since its founding in 1984.


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  • mbreslin1954
    "Dell founder Michael Dell will not be cashing in its share holdings . . ."

    Dude, Michael Dell is not an "it", he's a "his".
    8
  • A Bad Day
    Hm, a corporation being converted back into a privately run one. That's not an everyday occurrence.
    4
  • calmstateofmind
    mbreslin1954"Dell founder Michael Dell will not be cashing in its share holdings . . ."Dude, Michael Dell is not an "it", he's a "his".


    He means to say that Mr Dell is making the decision on what to do with the shares that Dell, the company, owns.
    1