Tinman Michael Dell’s attempt to buy his own company back is now heading to court.
Activist investor Carl Icahn has sued Dell and its board in the latest move to derail a $24.4 billion buyout bid by the computer maker’s founder and CEO, Sir Michael Dell.
According to Reuters, Icahn wants the courts to block rule changes Michael Dell has proposed ahead of a shareholder vote set for Friday.
Icahn and his affiliates also want the court to stop Dell from changing the record date by which shareholders must have purchased their shares in order to vote.
All this would stop Michael Dell from using any Dell shares acquired since 5 February at any annual shareholder meeting when his buyout bid was announced. This will allow Icahn to put forward his own directors for the company.
The lawsuit also seeks the court to bar the company from changing any shareholder voting requirements.
As we reported yesterday, word on the strasse is that Dell probably will not have enough votes to carry the day at any shareholder meeting unless he can rig the election in some way.
The lawsuit, filed in the tiny Americahn (sic) principality called Delaware – not Dellaware! – seeks to force the company to call an annual shareholder meeting on the same day as the special meeting on the buyout.
Icahn thinks that Michael Dell is trying to buy his own company back too cheap. Apparently there are some “tenuous” talks between the buyout group and Dell’s special board committee for a higher bid.