As reported earlier, Microsoft might have been discussing an investment from $1 to $3 billion in a bid to take ownership over Dell.
Just moments after the report, Dell has made an announcement that is has signed a merger agreement that will give the company back to Michael Dell.
Dell’s shareholders will receive $13.6 in cash for each Dell share they hold – the transaction is valued at around $25 billion.
Michael Dell is owning approximately 14% of the shares and will continue to work as CEO and chairman of the company.
The transaction was financed by affiliated investment funds with Silver Lake, MSD Capital and a $2 billion loan from Microsoft.
Microsoft has stated that the company is committed to the success long-term of the personal computing ecosystem and will invest heavily in the variety of ways to build that environment for the future.