Michael Dell backs up his buyout plan with $750 million in cash

Michael Dell Buyout Details

Michael Dell really does seem fully committed to his plan for rebuilding Dell (DELL). Reuters reports that Dell and his investment firm have committed $750 million in cash to help secure the buyout of the company he founded back in 1984. Under the terms of the buyout, Dell is contributing $500 million of his own money while his MSD Capital firm will pitch in another $250 million. Dell earlier this week put the finishing touches on a $24.4 billion deal to take the company private after he enlisted the help of Silver Lake Partners and Microsoft (MSFT), which together have committed $3.4 billion to help buy out the firm. Most of the deal is being financed by several banks providing debt totaling around $13.75 billion and by Dell’s own 16% stake in the company.

Source:
Reuters
blog comments powered by Disqus