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Rackspace Hosting, Inc. Message Board

  • mhkather mhkather May 29, 2009 3:42 PM Flag

    Dell rumors likely bs

    #1 Dell would have to pay an enormous valuation for the company at/near/above IPO price. #2 Rax is currently a large customer of Dell -- buy the services piece only to lose the hardware sales, doesnt make sense to me. #3 Mgmt is not likely a seller at/near current levels. #4 Dell is said to have gotten a look at a private equity deal long ago and didnt even want to take a look, why do it now then at a much much much higher valuation?

    Full disclosure, I'm short the shares personally.

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