Computing company Dell is set to go private. Founder Michael Dell originally owned 16 percent of the computing giant, but will now buy back his own company with the help of private-equity firm Silver Lake and Microsoft. The move now allows Michael to take the company in a direction of his choice, without shareholders looking over his shoulder.
Brian Gladden, who is the chief financial officer for Dell said that they will now have flexibility and time on their hands to be able to plan and achieve their goals. Currently, the hardware manufacturer has been experiencing a slump in sales following the advent of tablets and other hand-held devices.
Gartner predicts that global PC sales will continue to fall in 2013. The company only held 10 percent of the PC market in 2012 as well. The USD 24.4 billion takeover is the largest to involve a private-equity company since the financial crisis. Microsoft has also contributed USD 2 billion to the acquisition, while Silver Lake is contributing USD 1 billion.
The move has fueled the company with confidence, but it remains to be seen whether Dell will be able to claw its way back into the ever-changing PC market, or whether they will go the way of their competition and focus on hand-held tablets.