Feeds

Dell goes private: Stock ceases trading, now Big Mike's baby once again

Deal cost Texan tech titan and pals $24.9bn

Internet Security Threat Report 2014

It's official: Dell is now a private company. Founder Michael Dell and Silver Lake Partners have completed their acquisition of the firm in a deal valued at around $24.9bn.

"Today, Dell enters an exciting new chapter as a private enterprise," Dell (the man) said in a canned statement. "Our 110,000 team members worldwide are 100 percent focused on our customers and aggressively executing our long-term strategy for their benefit."

Note that the aforementioned team is a bit thinner than it was before, following a "limited workforce reduction" designed to make Dell (the company) more efficient now that its shares are off the NASDAQ exchange.

Mickey D's battle to regain control of the company he created was not an easy one. Along the way, he faced down a challenge from "activist investor" Carl Icahn, who suggested an alternative debt restructuring plan that was ultimately rejected by Dell's board of directors.

Under the terms of the final deal, Dell stockholders will receive $13.75 in cash plus a special cash dividend of $0.13 for each share, for a total payout of $13.88 per share.

Having resumed control of the company, Dell says he plans to expand its reach in the enterprise, target developing markets, increase sales through the channel, and "accelerate an enhanced customer experience" – whatever that means.

Dell began life in Michael Dell's off-campus University of Texas dormitory room in 1984 and floated its initial public offering four years later, doubling its worth to become an $80m company practically overnight. After 25 years as a public company, on last count it had a market capitalization of $24.37bn.

Trading in Dell's common stock ceased as of the close of the market on Thursday, with a final price of $13.86 per share. ®

Top 5 reasons to deploy VMware with Tegile

More from The Register

next story
Bono apologises for iTunes album dump
Megalomania, generosity and FEAR of irrelevance drove group to Apple deal
HBO shocks US pay TV world: We're down with OTT. Netflix says, 'Gee'
This affects every broadcaster, every cable guy
Facebook, Apple: LADIES! Why not FREEZE your EGGS? It's on the company!
No biological clockwatching when you work in Silicon Valley
French 'terror law' declares WAR on the INTERNET itself, say digi-rights folks
Liberté, Égalité, Fraternité: Two out of three ain't bad
SCREW YOU, EU: BBC rolls out Right To Remember as Google deletes links
Not even Google can withstand the power of Auntie
Arab States make play for greater government control of the internet
Nerds told to get lost in last-minute power grab bid at UN meeting
Zippy one-liners, broken promises: Doctor Who on the Orient Express
Series finally hits stride, but Clara's U-turn is baffling
Don't bother telling people if you lose their data, say Euro bods
You read that right – with the proviso that it's encrypted
prev story

Whitepapers

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.
Win a year’s supply of chocolate
There is no techie angle to this competition so we're not going to pretend there is, but everyone loves chocolate so who cares.
Why cloud backup?
Combining the latest advancements in disk-based backup with secure, integrated, cloud technologies offer organizations fast and assured recovery of their critical enterprise data.
High Performance for All
While HPC is not new, it has traditionally been seen as a specialist area – is it now geared up to meet more mainstream requirements?
Saudi Petroleum chooses Tegile storage solution
A storage solution that addresses company growth and performance for business-critical applications of caseware archive and search along with other key operational systems.