Icahn Buys Southeastern Stock, Seeks Dell Share Buyback

By IVCPOST Staff Reporter

Jun 18, 2013 10:02 PM EDT

Carl Icahn promised shareholders at Dell Inc. that the company will buy back up to US$16 billion of its stock. This could be achieved if shareholders would join his campaign against privatization of the computer manufacturer, Icahn added.

Next month, the shareholders at Dell will cast their votes on whether or not to take the US$24.4 billion takeover bid from the company's founder, Michael Dell and private equity firm Silver Lake. Time is running out for billionaire investor Carl Icahn although mixed reactions were displayed from its shareholders.

Icahn repeatedly announced that the deal offered by Michael Dell undervalues the company. On Tuesday, Icahn gave shareholders his latest proposal. He has asked them to vote for new directors who would approve Dell's buyback valued at US$14 per share piece. Michael Dell and Silver Lake are bidding at US$13.65 per share piece.

Southeastern is the company's biggest shareholder. It sold its shares to Icahn at US$13.52 per piece. This made Carl Icahn the biggest external investor of Dell Inc.

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