Fri September 13, 2013
Shareholders Have Split Reaction To Michael Dell Buyout
Those with stock in Austin-based computer company Dell met in Round Rock on Thursday to discuss and vote on allowing it’s founder to once again become the company owner and take the company private.
Michael Dell will pay $13.75 a share to give him over 55 percent control of the company, in a buyout that will cost a total of $24.9 billion.
The move has hit plenty of bumps along the way, with delayed shareholder meetings and plenty of shareholders opposing the move. Vince Dugan, now a former Dell shareholder, voted against selling to the founder, saying he doesn’t trust him.
"He’s run the company down every since he came back," Dugan said. "He should’ve been taken out of responsibility when he announced he was going to buy back the company. The board of directors should’ve said, 'You ain’t got nothing to do with this anymore.'"
Dugan said he took an over $125,000 loss due to the buyout.
Others like now former-shareholder Janet Kres reasoned that Michael Dell will help build back the company.
"It’s a bitter sweet," she said. "We enjoyed being shareholders with Dell, but he puts out a good product, so that was a good investment for us."