Dell being taken private

[Tilted]

Dell Reaches Deal to Be Taken Private by Founder, Silver Lake; Shareholders to Receive $13.65 a Share

This has been widely speculated about for the last week or so. The consumer PC part of Dell's business hasn't been great. The PC market in general has been struggling lately. It has become largely commoditized (read: no margins), it's losing share to other form factors, and major markets are largely saturated.

 

[GURPS]

I saw that .... and ?

your opinion ?

 

[czygvtwkr]

About a $7k capital loss for me.

 

[Tilted]

About a $7k capital loss for me.

Have you owned Dell for a while, or did you buy it on that rally early last year.

 

[Tilted]

I saw that .... and ?

your opinion ?

I don't have much in the way of opinion about it. It seems that Michael Dell wants more control over the company - he doesn't want to have to worry about what shareholders think. So he found some people, including Microsoft, to help him come up with enough money to take it private.

As I indicated, Dell has struggled in the consumer PC market of late - even more than the market itself has struggled. It's faired a little better in the enterprise and public PC markets, but still hasn't done particularly well there.

The PC business is just a bad business to be in. Growth is gone and margins, in general, stink. I think the last time I listened to a Dell conference call they were talking about a higher margin strategy - pushing higher end PCs (unless I'm confusing those comments with HP, but I don't think I am). I'm not sure how successful that strategy will be.

 

[GURPS]

I think the last time I listened to a Dell conference call they were talking about a higher margin strategy - pushing higher end PCs (unless I'm confusing those comments with HP, but I don't think I am).

could be ....... Dell acquired the boutique PC builder Alienware some yrs ago

although IIRC HP did a Me Too and acquired their own as well

 

[GURPS]

in the Halcyon days of the PC Market BOOM ... everyone wanted to rake in 100's of Millions going public ..... early employees were hired with low salaries and promise of Stock Options ....

going public paid them off ...... I remember stories of millionaire secretaries @ AOL once their stock options vested


now a days, me personally, I would not want to headache of running a public company

 

[czygvtwkr]

Have you owned Dell for a while, or did you buy it on that rally early last year.

Owned it for a while, couldnt sell it when I needed to because it was willed to me and all the stuff I had to do to transfer over to my total control took forever.