Feeds

Icahn suggests pumping Mikey Dell for dollars hard over a court bench

'Have your cake and eat it too' he tells fellow shareholders amid buyout bid

SANS - Survey on application security programs

Activist investor Carl Icahn has urged his fellow Dell shareholders to join him in trying to get a higher price for their stockholdings in court.

Icahn has written a letter to investors telling them they should reject the $24.4bn buyout offer to take the firm private lodged by company founder Mike Dell and Silver Lake Partners, and ask the courts to appraise the value of the company's shares.

The letter is Icahn's latest attempt to put a stop to Big Mike's bid to pay off all the stockholders at $13.65 per share, and take his PC giant private. Icahn has also teamed up with Southeastern Asset Management for an alternative debt-restructuring plan for the beleaguered biz. But shareholder advisory firms Institutional Shareholder Services, Glass Lewis and Egan Jones have all said they support Mike's offer.

"Under Delaware law if a merger occurs and you did not vote for it, you are entitled, through appraisal, to the fair value of your shares as determined by a Delaware court," Icahn wrote. "We have done a great deal of due diligence concerning the value of Dell, and as we have said in the past, we believe the $13.65 merger price substantially undervalues your Dell shares, and we believe if you seek appraisal, you will receive more."

He also said that the appraisal route was totally worth it, because even if stockholders later changed their minds, they could still take the $13.65 deal up to 60 days after the merger.

"To add a new twist to an old saying, 'you can have your cake and eat it too'," he added, saying he reckoned that Mike and Silver Lake would rather negotiate with those seeking appraisal and settle for a price more than $13.65 to get them to drop their claims. ®

High performance access to file storage

More from The Register

next story
Sorry London, Europe's top tech city is Munich
New 'Atlas of ICT Activity' finds innovation isn't happening at Silicon Roundabout
MtGox chief Karpelès refuses to come to US for g-men's grilling
Bitcoin baron says he needs another lawyer for FinCEN chat
Dropbox defends fantastically badly timed Condoleezza Rice appointment
'Nothing is going to change with Dr. Rice's appointment,' file sharer promises
Audio fans, prepare yourself for the Second Coming ... of Blu-ray
High Fidelity Pure Audio – is this what your ears have been waiting for?
Did a date calculation bug just cost hard-up Co-op Bank £110m?
And just when Brit banking org needs £400m to stay afloat
Zucker punched: Google gobbles Facebook-wooed Titan Aerospace
Up, up and away in my beautiful balloon flying broadband-bot
Apple DOMINATES the Valley, rakes in more profit than Google, HP, Intel, Cisco COMBINED
Cook & Co. also pay more taxes than those four worthies PLUS eBay and Oracle
prev story

Whitepapers

Designing a defence for mobile apps
In this whitepaper learn the various considerations for defending mobile applications; from the mobile application architecture itself to the myriad testing technologies needed to properly assess mobile applications risk.
3 Big data security analytics techniques
Applying these Big Data security analytics techniques can help you make your business safer by detecting attacks early, before significant damage is done.
Five 3D headsets to be won!
We were so impressed by the Durovis Dive headset we’ve asked the company to give some away to Reg readers.
The benefits of software based PBX
Why you should break free from your proprietary PBX and how to leverage your existing server hardware.
Securing web applications made simple and scalable
In this whitepaper learn how automated security testing can provide a simple and scalable way to protect your web applications.