Dell shareholders meeting postponed, no buyout vote

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by KVUE

khou.com

Posted on July 24, 2013 at 9:00 AM

AUSTIN, Texas -- A deal to take Dell private will have to wait a little longer for a vote, after Michael Dell upped the ante, increasing his buyout bid to $13.75 a share.

Company shareholders had been scheduled to meet at 5 p.m. Wednesday to vote on a proposed bid, but the meeting has been pushed back to Aug. 2.

There's concern over whether there will be enough votes to move the buyout through. Founder Michael Dell is going in on the buyout with an investment firm called Silver Lake.

Dell says going private will boost the company's fortune in the long run.

“It allows him a lot more flexibility to the business without the public scrutiny,” said economist Angelos Angelou.

Others say it could pose a problem.

“It could lead to job losses, it could also lead to a shift in the types of jobs we have here in Austin,” said economist Amy Holloway of Avalanche Consulting.

There's no word yet as to what changes may occur within the company if and when it goes private. If the current offer with Dell and Silver Lake falls through, there is another offer on the table.

Billionaire Carl Icahn and another investment firm are trying to defeat the Silver Lake offer. Icahn says it undervalues the company.

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