Dell Founder May Pony Up $1 Billion to Buy PC Maker

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Formedras

As much as I hate Dell (with the primary reason being under my hands right now), I fully support this move.
Reason: Publicly traded companies, accountable first and foremost to the faceless shareholder, are virtually doomed to put short-term profits over any- and everything else, such as long-term profit, quality, market health, or customer satisfaction and well-being. At least privately-owned companies have a chance at higher pursuits. (Not saying they get there, but at least they can.)

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Electrik

Does Balmer come with the deal?

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spazimspaz

Spelling error. Privaty. But keep up the good work Paul.

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MaximumMike

double post

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MaximumMike

Ummmmm.... if $3.6 Billion gets me 15.7% of the company, how does $1 Billion get me 34.3% or better of the company? Something doesn't add up there, unless the other holders are really willing to dump their shares so cheaply. But if they are, then is my 15.7% stake really worth $3.6 Billion?

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jason2393

Silver Lake and Microsoft are contributing as well, bringing the total amount to $3-5 billion.

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MaximumMike

But that still doesn't add up. Michael Dell needs more than twice the shares he has now, and even at the high end $5 Billion isn't twice the 3.6 Billion he already owns. Additionally, if he ponies up $1 Billion and Microsoft and Silver Lake put up the other $4 Billion, how does that give "him" controlling interest?

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MaximumMike

Ok, so I took the time to read the Bloomberg report, and it makes a lot more sense now. I guess I should have tried that before asking a bunch of dumb questions. ;)

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alexc

Dude, you're getting Dell!

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gmvolk

Lost all respect for Dell when they fired the Dude! Bring back the Dude and maybe Dell can jump to number 1 pc maker!

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MaximumMike

I lost all respect for Dell when they fired all their American support staff and sent the jobs to India. Maybe if they brought back the awesome customer service they built their name on they could be #1 again.

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