Billionaire Icahn to boost Dell takeover offer, calls for CEO to leave

Billionaire business mogul Carl Icahn has said he plans to raise his $15.4 billion (£10.1 billion) offer to take over computer maker Dell.

In May, Icahn lost out when the company's board recommended that shareholders should accept a $24.4 billion (£16 billion) offer led by founder Michael Dell.

Mr Dell, the company's chairman and CEO, believes that the company needs to be removed from the stock exchange and privatised in order to progress without the pressure of scrutiny from shareholders.

The founder hopes to move the business away from PCs and onto mobile devices and business software.

His offer, backed by private equity group Silver Lake, would give shareholders $13.65 (£9.01) per share in cash.

However, Icahn and Southeastern Asset Management, who together own 12 per cent of the company, have resisted the deal, arguing that it is not a fair offer.

They have urged other shareholders to join them in pressing for legal action to get more money for their stock.

Icahn said his new offer will pay around $20 (£13.21) per share. Speaking on Bloomberg Television, he argued that it is time for Michael Dell to leave the company.

"Look at him, he is going in and catching a falling knife. Very often the founder of the company should not be running it later when it matures and I don't think [Michael Dell] has done a good job and I think the board has been asleep on the switch," he said.

"They should have held him accountable years ago. They have had a very poor performance. Instead of saying that you are out of here, they are going to reward him and give him this great bargain."