Dell Inc warned on Friday that it would be dangerous to take on a lot of debt and remain a public company given its worsening profit outlook, in a sign that it views proposals from Blackstone Group LP and billionaire investor Carl Icahn as fraught with risk.The No. 3 maker of personal computers published a 274-page preliminary proxy statement to inform Dell shareholders of how a $24.4 billion takeover proposal from founder and Chief Executive Michael Dell and private equity firm Silver Lake Partners was put together, and why it is the best of all the alternatives the company's board had explored.Icahn has proposed paying $15 per share for 58 percent of Dell, while Blackstone has indicated it can pay more than $14.25 per share -- both deals involve saddling the company with a lot of debt and keeping it on public markets. Silver Lake's $13.65 per share all-cash offer would see Dell go private.Dell's proxy statement did not directly pass judgment on the Blackstone and Icahn bids, yet it warned that any leveraged recapitalization was risky if the company was to remain public.
The Blackstone Group L.P. (Blackstone) is a United States-based company that is a manager of private capital and provider of financial advisory services. Shares of BX fell by 1.35% or $-0.27/share to $19.78. In the past year, the shares have traded as low as $11.13 and as high as $21.09. On average, 5467430 shares of BX exchange hands on a given day and today's volume is recorded at 3850622.
Dell, Inc. (Dell) is a global information technology company that offers its customers a range of solutions and services delivered directly by Dell and through other distribution channels. Shares of DELL fell by 0.07% or $-0.01/share to $14.33. In the past year, the shares have traded as low as $8.69 and as high as $16.85. On average, 38457100 shares of DELL exchange hands on a given day and today's volume is recorded at 22144804.
Source
