News Byte: Dell Officially Goes Private
Dell is officially a private company as Michael Dell, founder, chairman, and CEO of the company, and global technology investment firm Silver Lake Partners have completed the $24.9 billion acquisition.
“Today, Dell enters an exciting new chapter as a private enterprise,” Dell stated in a press release. “Our 110,000 team members worldwide are 100% focused on our customers and aggressively executing our long-term strategy for their benefit.”
Dell received approval to privatize the company at a September 12 stockholder meeting. Less than a month later, the founder received “all necessary pre-merger regulatory clearances.”
Dell will end trading of its common stock by end of business day today. According to the press release, Dell stockholders will receive $13.75 in cash for each share of held common stock, as well as a cash dividend of $0.13 per share, totaling $13.88 per share in cash.
In an earlier interview Allison Dew, VP of marketing for Dell, told Direct Marketing News that the privatization signals a shift from simply focusing on consumer PCs to also centering on B2B solutions, including data centers and software as a service technology.
“We're still heavily associated with the direct consumer [and] small-to-medium sized businesses, and those are really important businesses to us,” Dew said. “But we do so much more than that now.”
Direct Marketing News will dive deeper into what this privatization means from a marketing perspective in its December 2013 issue.