#1 if no other buyout offer emerges, why would Mike Dell and his LBO team increase their current $13.65 offer?
#2 if Dell stock is worth $16, $20 or as some here say, $24 per share, then why haven't any other buyout offers emerged?
#3 is Southeastern Asset Management thinks Dell's $13.65 offer is "woefully inadequate' then why doesn't Southeastern offer $15 and buy the company themselves?
Bashfordcapital - I wonder if they might have to regardless if it's fair or not. Someone else posted I think a very valid comment. I wanted to get your honest/logical opinion on it. The stock is up at least .20 above offer price. So if others feel like you do that $13.65 if a fair price, why would you wait for the buyout? Just sell now. And the fact that the stock has very high volume, that means that a large chunk of this stock is been bought above the buyout price. So I wonder if the longer this goes on, the percentage of those who think $13.65 if fair and will vote yes, will go down. Why? because they today can sell and get more than $13.65. Thoughts?
No reasont to sell now. Mike Dell and his LBO team will wait until the shareholder vote before either payingthe $13.65 per share, or retracting their offer.
In the meantime, there is a chance that another bidder might emerge.
Consequently, the risk in owning DELL shares is greatest on or near the voting date.
As for your supposition that potential "yes" voters may have already sold and, or are selling at current prices, I agree, that is happening.
#1 MDell will have to increase the offer or there will be more no votes than yes votes.: MDell cannot vote his shares and any non-votes is a no vote.
#2 Unless a buyer has someone lined up to manage the company, they may not want to offer a higher price. It is obvious that no one wants MDell as CEO. The company is worth about $20 per share but without MDell who has been back for 7 years and done nothing.
#3 Southeastern is an investor company, not a management company. It is not their job to manage companies; it is their job to invest and complain when a company in which they have shares is poorly run.
I have a question for you: why are you here and why are you so stupid?
Why shoukd Mike dell overpay now? If his offer is rejected he will most likely have the option , later this year or next year, of making another buyout proposal, at potentially a significantly lower offer price.
I am aware of Southeastern's function as a "money manager'. However, if that firm has true conviction that "Dell is worth $20 or more" then Southeastern should consider transforming its function to that of an LBO business management operation. It's really their only option to get a higher return for their current Dell investment.Just complaining about someone elses offer for their shares is not productive, or even professional.