Dell Technologies to go public for first time in 5 years
Dell Technologies shareholders approved a plan Tuesday that would take the venerable firm public for the first time in five years.
The plan calls for Dell to spend more than $23 billion to buy back shares of a stock that tracks the company’s interest in VMware, Dell’s cloud computing subsidiary. The deal is expected to close on Dec. 28, and Dell will begin trading on the New York Stock Exchange under the ticker “DELL” the same day.
"We appreciate our stockholders' support. With this vote, we are simplifying Dell Technologies' capital structure and aligning the interests of our investors," said Michael Dell, chairman and CEO of Dell Technologies. "This strengthens our strategic position, as we continue to deliver innovation, long-term vision and integrated solutions from the edge to the core to the cloud. We've created Dell Technologies to be our customers' most trusted partner in their digital transformation."
Dell first announced its plan to take the company public last July. The decision was met with opposition from activist investor Carl Icahn. The billionaire sued Dell in November, alleging the company had withheld key financial information and arguing that the deal undervalues Dell.
The buyback deal calls for Dell to spend slightly more than the $21.7 billion it originally announced.