Billionaire and Major Shareholder Buy Dell

According to foreign media reports, Icahn and Southeastern Asset Management Inc. proposed a $21 billion cash offer for Dell to challenge Dell founder Michael Dell to $24.4 billion. The privatization plan for the dollar.

It is reported that Michael Dell and a private equity company named Silver Lake attempted to acquire the company’s equity at a price of US$13.65 per share, but shareholders including Southeastern Asset Management and T. Rowe Price complained about the price. Seriously underestimate the value of company stocks. In contrast, Icahn and Southeastern Asset Management, as Dell’s largest investor, proposed to provide each stockholder with a cash compensation of US$12 per share and still be able to continue to hold shares.

On the morning of this news, Dell's share price dropped by 0.2 percentage points to 13.42 US dollars on the Nasdaq market.

According to reports, this proposal does not consider that if Icahn uses the company’s cash in transactions and sells accounts receivable to reduce the company’s future cash flow, additional borrowing may occur. In addition, this proposal also involves the analysis of whether the additional shares received will be taxable. At the same time, we also need to understand the relationship between Icahn and Southeastern Asset Management.

Icahn’s company did not comment on this matter in a timely manner. Icahn and Southeastern Asset Management both claim that they will use existing cash and approximately $5.2 billion in debt as financial support for the proposed acquisition.

Currently, Icahn and Southeastern Asset Management own a total of 13% of Dell's shares. They had previously proposed to purchase 58% of Dell's shares at a price of $15 per share.