Dell seeking to sell itself to private equity investors?

Posted on Tuesday, Jan 15 2013 @ 13:33 CET by Thomas De Maesschalck
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Two anonymous sources told Bloomberg that Dell is seeking to sell itself to private-equity firms. The Round Rock, Texas based computer builder lost almost a third of its stock market value in 2012, and reportedly hopes to be able to better compete with its rivals and revive growth by not having to worry about quarter-to-quarter scrutiny from Wall Street.
The company is discussing going private with TPG Capital and Silver Lake, said one of the people, who asked not to be identified because the talks are private. A deal could be announced as soon as this week, one person said. The discussions could fall apart because firms may not be able to line up the needed financing or resolve how to exit the investment in the future, the people said.

Several large banks have been contacted about financing an offer, one of the people said. The computer maker had a market value of $18.9 billion as of Jan. 11.

About the Author

Thomas De Maesschalck

Thomas has been messing with computer since early childhood and firmly believes the Internet is the best thing since sliced bread. Enjoys playing with new tech, is fascinated by science, and passionate about financial markets. When not behind a computer, he can be found with running shoes on or lifting heavy weights in the weight room.

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