Icahn To Oppose Dell's Purchase Of DVMT Tracking Shares

(RTTNews) - The activist investor Carl Icahn, who fought Michael Dell when he took his namesake computer company private in 2013, will challenge plans to take it public again.

Icahn on Monday disclosed that he has boosted his stake in shares that track Dell Technologies Inc.'s (DVMT) interest in VMware Inc. (VMW) to 8.3%.

Icahn said in a letter, "A few months ago, several large holders of Dell Technologies Inc.'s tracking stock ("DVMT" or the "Tracker") contacted me to express their concerns regarding, and their opposition to, Michael Dell's and Silver Lake's machinations and activities related to the Tracker, as well as stressing that the Tracker was, and is, deeply undervalued. (Five years ago, I vehemently fought Michael Dell who many stockholders believed was severely underpaying for the company in a going-private transaction). After researching the current situation, I quickly realized that while we have unearthed many undervalued opportunities in the past, very few companies compare to the current opportunity and the massive undervaluation of DVMT -- which exists in plain sight for all to see."

Icahn said that he plans to vote against Dell Technologies' plan to buy the stock—known by its ticker, DVMT—and encourage other shareholders to do the same.

Icahn said, "I firmly believe Dell and Silver Lake are trying to capture $11 billion of value that rightly belongs to us, the DVMT stockholders. As such, I intend to do everything in my power to STOP this proposed DVMT merger. In my opinion, it is better to have peace than war, but be assured, I still enjoy a good fight for the right reasons, and in the current situation, I do not see peace arriving quickly! Stay tuned!"