Yesterday all of a sudden Dell was trending on twitter as Michael Dell is buying back the personal computer downloadmanufacturer he founded and that carries his name for $24.4bn (£15.5bn).reported by the media.

This could be a cause for the concern :-

Many management-led buyouts have been successful enriching management at shareholder expense. how about the worst ones ?

The first issue is price. In such a buyout, a company’s executives have an incentive to pay the lowest price possible, yet they are also supposed to represent the interests of shareholders. That’s a fundamental conflict.
Continue reading

Advertisements