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Dell may Delay Shareholder Vote on Buyout

Shares of Dell are down about 1 percent in morning trading Tuesday on reports that the board may delay a shareholder vote on CEO Michael Dell’s buyout offer if it appears that shareholders will reject the deal.

In the past week, an increasing number of major shareholders have come out against the deal. The latest came this morning as CNBC’s David Faber reported that Blackrock will likely vote against Michael Dell’s offer. It commented, “Pretty soon the math gets tough for Michael.”

Dell has been locked in a battle with activist investor Carl Icahn who presented a counter offer that would keep the company public. What was looking like a sure victory for Michael Dell is now not as clear.

Dell commented on the Tuesday rumor saying that talk of a shareholder vote delay is speculation.

Shares of the PC maker have fallen 2 percent this month as uncertainty over Michael Dell’s offer becomes increasingly unclear.

[stock-tools exchange="NASDAQ" symbol="DELL" image_height="230" image_width="350"]

Disclosure: At the time of this writing, the author had no position in the company mentioned.

 

 

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