Dell Founder to Increase Offer

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Michael Dell, CEO and founder of Dell Inc, is clearly threatened by the bids from the Blackstone Group LP and billionaire investor Carl Icahn. He is clearly intending to increase his offer to move his computer company from being a PC maker into a contender in the new areas of technology such as tablets and cloud computing.

Both outside bids were far above the US$24.4 billion buyout bid tabled by Silver Lake Management and Dell himself. The special committee of the board that have received the bids can either declare them as superior to the existing ones or allow far more time for the offers to be properly scrutinized.

Michael Dell founded the company in his Texas dormitory room back in 1984 is planning to retool the company from its PC making roots to becoming a data hardware center and software for corporations - far from the scrutinizing public. The buyout group increased the bid from between US$14.90 to US$15.00 share.

Tags
Blackstone Group, Carl Icahn, Silver Lake

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