Dell profit plummets 31% ahead of $24 billion buyout

Dell profit plummets 31% ahead of $24 billion buyout Zeebiz Bureau

San Francisco/ New Delhi: Dell Inc on Tuesday reported a 31 percent drop in profit, hurt by a shrinking consumer business, a news wire has reported.

Founder Michael Dell's offer to buy out the world's No.3 maker of personal computers teaming up with private equity firm Silver Lake and software maker Microsoft has however seen major opposition.

Michael Dell is offering USD 13.65 a share to buy out the company, but at least four of its largest investors are opposed to the USD 24.4 billion deal.

The founder and CEO did not join in management discussion of the results in a conference call with analysts, given his participation in the buyout. Dell executives also did not comment on the buyout.

Since news of the proposed buyout emerged in January, the stock has gained almost 30 percent - a rally that analysts say may evaporate should the deal fall through.

With Agency Inputs