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Dell goes private following $24.4b buyout

Dell has officially gone private in a deal worth $24.4 billion (£15.5 billion), the company has said, confirming the rumour mill's suspicions.

The buyout takes the company completely off the publicly traded stock market and into the hands of Michael Dell, the company’s founder, chairman and chief executive officer, in partnership with investment firm Silver Lake.

The deal leaves Dell stockholders with $13.65 (£8.65) in cash per share, a 37 per cent boost from the average closing share price of the three months before the rumours of a buyout began on 11 January 2013.

Under the agreement, Dell will retain his position as chairman and CEO of the Round Rock, Texas-based company.

“I believe this transaction will open an exciting new chapter for Dell, our customers and team members. We can deliver immediate value to stockholders, while we continue the execution of our long-term strategy and focus on delivering best-in-class solutions to our customers as a private enterprise,” said Dell.

“Dell has made solid progress executing this strategy over the past four years, but we recognize that it will still take more time, investment and patience, and I believe our efforts will be better supported by partnering with Silver Lake in our shared vision,” he added.

As previously rumoured, the transaction was facilitated by Microsoft, which lent $2 billion (£1.3 billion) to help finance the buyout. There’s no word yet on whether this points to future partnerships between the two firms.