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Michael Dell's plan to take the company that bears his name private has hit further snags, after another major investor objected to the $24bn deal.
According to multiple reports, institutional investor T Rowe Price which owns about four percent of Dell's stock, has said it will not support the current deal.
“We believe the proposed buyout does not reflect the value of Dell, and we do not intend to support the offer as put forward," T Rowe Price chief investment officer Brian Rogers said in a statement.
Earlier this week, Dell had submitted filings to the US Securities and Exchange Commission, which were intended to draw the sting out of criticisms of its buyout plan.
Dell claimed that a sub-committee of its management board had undertaken an exhaustive examination of potential strategies, concluding that the offer to buyout shareholders represented the best deal for them.
Previously, investment firm Southeastern Asset Management, which owns a nine percent stake in Dell, claimed its shares should be valued at around $23.75, rather than the $13.65 offered in the buyout proposals.
Michael Dell had proposed the buyout deal – which will be partly funded by his own money – to give the firm time to reorganise, as its traditional markets in server and PC hardware are being shaken by the shift towards mobile and cloud computing.
Analysts have generally praised the proposals, which they believe will enable Dell to reorganise without the added pressure of delivering market-pleasing quarterly reports.
Investors, it seems, want Dell to dig deeper in to his pockets before agreeing.