Dell Holder T. Rowe Price Reiterates It Won’t Back BuyoutJillian Ward
Dell Inc. investor T. Rowe Price Group Inc. said it won’t support the proposed buyout of the personal-computer maker by founder Michael Dell and Silver Lake Management LLC, reiterating its opposition ahead of this week’s deadline to vote on the deal.
“We continue to believe the proposed buyout does not reflect the value of Dell,” T. Rowe Chief Investment Officer Brian Rogers said in an e-mailed statement. “We do not intend to support the offer as put forward.” The firm owns 71.9 million shares of Dell, or 4.1 percent of the company’s outstanding stock, according to data compiled by Bloomberg.
Shareholders are set to vote by July 18 on the $24.4 billion proposal to take the company private. The buyout group faces a challenge from activist investor Carl Icahn, who says the $13.65-a-share offer is too low because the company is still a strong contender in the PC market.
Dell shares slipped 1.3 percent to $13.15 at the close in New York.