As the Blackstone Group LP and investor Carl Icahn are in discussions as to the offer to be made for Dell Inc, one of the clear signs of their unity is the ouster of Michael Dell as CEO of the computer manufacturer. This has caused debate as to the possible future of the company without its founder at its helm.
In a statement, Dell stated that it has received proposals from both Blackstone and Icahn that may be superior to the leveraged buyout offer from Silver Lake Management and Michael Dell.
Blackstone had invited Michael Dell to use his equity, worth about 15.6%, as part of what they term as leveraged recapitalization allowing other investors to participate in the transaction. The plan though does not envision Dell remaining as the company's CEO according to individuals knowledgeable on the matter but spoke on condition of anonymity. The other offer from angel investor Icahn also does not involve Dell being CEO, as confirmed by sources familiar with the planning of Icahn.
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