Icahn withdrawal clears Dell buyout path

September 09, 2013

After a long battle, Carl Icahn and associates admitted they were fighting a losing battle and have stepped away from their attempt to buy Dell.Icahn's withdrawal leaves only a buyout offer from company CEO Michael Dell and associate Silver Lake Partners on the table, who have proposed a deal in which shareholders will get US$13.75 per share and a special dividend of $0.13. Dell's board has recommended shareholders back the Dell/Silver Lake offer and a final shareholder approval vote is set for Thursday.Icahn and shareholder Southeastern Asset Management had a buyout proposal that they believed was potentially worth $15.50 to $18 a share for current stockholders. In a withdrawal letter to Dell shareholders Monday, Icahn said he was fighting a losing battle and continued to believe the company was being undervalued."We therefore congratulate Michael Dell and I intend to call him to wish him good luck (he may need it)," Icahn wrote.To read this article in full or to leave a comment, please click here

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