Dell Going Private in 2014 After $24.4 Billion Transaction
Posted on February 5, 2013 12:55 PM by Rob Williams
Dude, you’re going private! A long-standing rumor has proven true today as Dell announced that its founder and CEO along with Silver Lake investors would be acquiring the company, removing it from public trading and allowing it to focus on whatever it feels it needs to. The deal will see that each stockholder will receive $13.65 per share – up from the January 11th closing price of $10.88, and +37% over the average from the previous 90 days from that date.
For a large company like this to suddenly go private is noteworthy, as it’s clear that Michael Dell and his team feel it’s necessary in order to get back on the path of growth and success. In recent years, the company has had a difficult time latching on to certain markets, and that’s a potential killer in the rise of rising mobile platforms.
Mr. Dell had this to say on the move: “I believe this transaction will open an exciting new chapter for Dell, our customers and team members. We can deliver immediate value to stockholders, while we continue the execution of our long-term strategy and focus on delivering best-in-class solutions to our customers as a private enterprise.“
The deal is set to conclude before the end of Q2, 2014, so the fruits of the move are not going to be seen for quite some time. We hope to see some exciting years ahead for the company, and have doubts that this will prove to be a poor decision.