Feeds

Investor Icahn needs a loan of $7bn to tick off Mike Dell

I do not like it, SAM-I-am. I do not like Michael's big plan

Top 5 reasons to deploy VMware with Tegile

Activist investor Carl Icahn will need as much as $7bn to carry off his plan to pull Dell out from under Mike Dell's nose, banking sources have said.

The shareholder and his partner Southeastern Asset Management (SAM) have started talks with banks and financial firms to get bridge loans of up to $7bn for their plan to plough money back into Dell rather than letting Mike and his mate Silver Lake Partners take the firm private.

Sources told Thomson Reuters LPC that Jeffries and Co, the investment bank that's leading the deal, has already committed $1.6bn and is looking for commitments as large as $1bn from other lenders.

Mike Dell and Silver Lake Partners have put forward a plan to take Dell private at a price tag of $13.65 per share, or $24.4bn, and already have backing for around half of their plan from banks and Microsoft.

Icahn and SAM countered the deal earlier this month, proposing that shareholders get the option to hang on to their existing stock and get an extra $12 in either cash or shares. They argue that Mike Dell's offer undervalues the company, which still has a lot of potential in the enterprise services market. ®

Internet Security Threat Report 2014

More from The Register

next story
Facebook pays INFINITELY MORE UK corp tax than in 2012
Thanks for the £3k, Zuck. Doh! you're IN CREDIT. Guess not
Facebook, Apple: LADIES! Why not FREEZE your EGGS? It's on the company!
No biological clockwatching when you work in Silicon Valley
Happiness economics is bollocks. Oh, UK.gov just adopted it? Er ...
Opportunity doesn't knock; it costs us instead
YARR! Pirates walk the plank: DMCA magnets sink in Google results
Spaffing copyrighted stuff over the web? No search ranking for you
In the next four weeks, 100 people will decide the future of the web
While America tucks into Thanksgiving turkey, the world will be taking over the net
Microsoft EU warns: If you have ties to the US, Feds can get your data
European corps can't afford to get complacent while American Big Biz battles Uncle Sam
prev story

Whitepapers

Choosing cloud Backup services
Demystify how you can address your data protection needs in your small- to medium-sized business and select the best online backup service to meet your needs.
Forging a new future with identity relationship management
Learn about ForgeRock's next generation IRM platform and how it is designed to empower CEOS's and enterprises to engage with consumers.
Security for virtualized datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.
Reg Reader Research: SaaS based Email and Office Productivity Tools
Read this Reg reader report which provides advice and guidance for SMBs towards the use of SaaS based email and Office productivity tools.
Storage capacity and performance optimization at Mizuno USA
Mizuno USA turn to Tegile storage technology to solve both their SAN and backup issues.