Carl Icahn, the famous “gangsta”-style activist investor, has stepped into the middle of Dell’s $24.4 billion leveraged buy-out, threatening “years of litigation” if he doesn’t get his way.
He has apparently amassed a 6% position in Dell, making him the company’s second-largest outside stockholder, and he wants a $9-a-share special dividend paid out instead of letting Dell founder Michael Dell take the company private.
In a letter to Dell’s board Thursday Icahn proposed that the dividend be paid if shareholders voted down the LBO and wants the vote combined with the company annual stockholders meeting so stockholders also vote on the board.
If they don’t do that – that’s where he’s promising “years of litigation” challenging the LBO.