Bloomberg News is reporting that Dell’s board plans to meet this evening to discuss a potential $24 billion buyout — a move that would take the Round Rock, Texas-based PC maker private. If the board gives the nod, a deal could be announced as early as Tuesday morning.
Citing unnamed sources, Bloomberg said that the deal on the table values Dell at between $13.50 and $13.75 per share. Dell closed today at $13.27, with a market value of $23 billion.
Private equity firm Silver Lake Management is leading the deal, reportedly pumping $1 billion into Dell. But Microsoft also is still part of the mix, with sources telling Bloomberg that the software giant could invest $2 billion alongside Silver Lake.
Michael Dell is expected to maintain a majority share in the company, with Bloomberg News noting that a deal in the $23 billion range would be the largest leverage buyout since the economic downturn.
The involvement of Microsoft is interesting in part because it could signal that the software giant is trying to get more involved in the hardware game, looking to control the entire experience for computer users. (Much as Apple does). Microsoft has a similar alliance with smartphone maker Nokia.
Word of Microsoft’s involvement in a Dell deal first emerged late last month.
What do you think? A good move for Microsoft?