T. Rowe Price says will not support Dell buyout

Tue Feb 12, 2013 11:41pm IST

Related Topics

Stocks

   

REUTERS - Money manager T. Rowe Price Group on Tuesday became the latest major shareholder of computer maker Dell to oppose Dell's leveraged buyout offer.

"We believe the proposed buyout does not reflect the value of Dell, and we do not intend to support the offer as put forward," T. Rowe Chief Investment Officer Brian Rogers said in a statement.

T. Rowe's decision to oppose the $13.65 per share offer from Dell founder Michael Dell and private equity shop Silver Lake Partners could add significant pressure for a higher offer. T. Rowe controlled 4.4 percent of Dell shares as of September 30, according to Thomson Reuters data.

Other shareholders with an estimated total stake of 14 percent are also opposing or leaning against the deal.

Shares of Dell traded above the offer price to $13.80, up 0.76 percent on the day, after the T. Rowe Price announcement.

On Friday, Southeastern Asset Management, with an 8.5 percent stake, said in a securities filing that it would vote against the deal. Three other major shareholders are also expected to oppose the offer, sources have told Reuters.

(Reporting by Aaron Pressman and Tim McLaughlin; editing by Lisa Von Ahn, G Crosse)

FILED UNDER:

Microsoft in China

Tech Showcase

Samsung Sells Shares

Samsung Sells Shares

Samsung Group says to sell 4 units to Hanwha Group for $1.7 bln   Full Article 

HP Earnings

HP Earnings

HP fourth-quarter revenue drops on weak enterprise demand  Full Article 

Surveillance Saga

Surveillance Saga

U.N. committee spotlights 'highly intrusive' digital spying   Full Article 

Twitter Deal?

Twitter Deal?

Twitter in talks to buy Bieber-backed selfie app Shots - CNBC  Full Article 

Google in Europe

Google in Europe

United States says EU's Google case should not be politicised  Full Article 

Thanksgiving Ads

Thanksgiving Ads

Facebook video draws Thanksgiving ads from Macy's, others  Full Article 

Reuters India Mobile

Reuters India Mobile

Get the latest news on the go. Visit Reuters India on your mobile device.  Full Coverage