Carl Icahn ends Dell takeover bid; plan to take company private moves forward

Michael Dell's plans to take the PC company he founded, Dell, back to being a private business can now move forward with no real opposition. Billionaire Carl Icahn, who has waged a rather public campaign to take over Dell in the past few months, has announced he is ending his efforts.

AllThingsD posted a copy of Icahn's letter to Dell's shareholders. In that note, Icahn said that Michael Dell's plan to get the company's board to change the voting date for Dell's proposal to Sept. 12, along with a raise in his offer, has caused Icahn to abandon his plans.

Icahn did not go quietly, however. He feels that Dell's board changed the shareholder voting rules in Michael Dell's favor, adding, "The Dell board, like so many boards in this country, reminds me of Clark Gable’s last words in 'Gone with the Wind,' they simply 'don’t give a damn.'" Michael Dell raised his stock price offer in exchange for a change in the rules that nullifies any shareholder who does not vote. Previously, a shareholder who did not wish to vote would be counted as "no" votes.

With Icahn out of the way, the vote will proceed on Thursday, where 43 percent of Dell's shareholders must approve of Michael Dell's plan to take the company private. If the deal goes through, Microsoft has pledged to help out with a $2 billion investment.

Source: AllThingsD | Image via Dell

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Ding Dong, the wicked witch (Carl Icahn) is dead (takeover plans). Just look at what he did with TWA back in the day and anything he put his grubby paws on.

I suspect that after Dell goes private and does some streamlining, they will be purchased either by Microsoft as a PC HW manufacturing division for enterprises or they will be bought by HP or Lenovo as a means of solidifying their market. Either way the next few years for Dell will be very interesting.

Icahn is an idiot that tries this with almost every company... he buts in, causes a stir to raise stock price, pretends to care, cashes out then moves on to the next target... he's just a stock predator and always ends up on boards because he can buy so much stock at once and take a big percentage of control easily... I can't stand him

neufuse said,
Icahn is an idiot that tries this with almost every company... he buts in, causes a stir to raise stock price, pretends to care, cashes out then moves on to the next target... he's just a stock predator and always ends up on boards because he can buy so much stock at once and take a big percentage of control easily... I can't stand him

Very well put.

M_Lyons10 said,

Very well put.

He is indeed, at least IMO, a person of questionable ethics but surely not an idiot: six months "working" on the Dell deal and now he walks away with a $70 millions profit that will be added to his 20 Billions personal fortune.

neufuse said,
Icahn is an idiot that tries this with almost every company... he buts in, causes a stir to raise stock price, pretends to care, cashes out then moves on to the next target... he's just a stock predator and always ends up on boards because he can buy so much stock at once and take a big percentage of control easily... I can't stand him

hell I don't blame him show me the money. If I've invested in a company I would want the most for my buck.

I despise investor activists.

You know how to run the company? Great! Sell your insignificant stock and start your own corporation!