After months of speculation and back and forth discussions, a special committee comprising Dell Inc's board of directors announced that after evaluation, the best alternative for shareholders would be to sell off the company.
The select committee based its decision on five months of analysis and observation of Dell's performance. It has been negotiating 'aggressively' to find the best possible outcome and value for shareholders after agreeing in principle to Michael Dell's offer of US$13.65 per share. The Dell founder is proposing to take the company private.
These recommendations were made over the objections of its top shareholders. Other alternatives looked into was leveraged capitalization, modification of the dividend policy, sale of some parts of the business and continued operations under the current business plan.
One of the activist investors, Evercore, was recognized by the committee as seeking other alternatives to the one on the table. Deadline for submission is on March 22.
Join the Conversation