Icahn Enterprises, L.P. (IEP) Monday said it is happy with the positive response of the Special Committee of Dell Inc.'s Board to its proposal regarding Dell. The company further said it believes that the February 5th merger agreement entered into among Michael Dell, Silver Lake and Dell significantly undervalues Dell.
Icahn Enterprises' proposal, however, allows for substantial ongoing participation in Dell by those shareholders that wish to stay with Dell, while at the same time providing $15 per share in cash to those Dell shareholders that wish to exit Dell, up to an aggregate of $15.650 billion, an increase of $1.35 per share in excess of the Michael Dell/Silver Lake offer, added the company.
Icahn Enterprises further said its proposal, which involves an equity commitment of $2 billion by Icahn Enterprises, including its existing approximately $1 billion holdings of Dell stock, and $3 billion by Carl Icahn, reflects its desire to continue to hold a significant position in Dell in the future.
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