Silver Lake Partners nears $15 bn financing for Dell acquisition

Private equity firm Silver Lake Partners is close to arranging about $15 billion in financing for acquiring personal computer maker Dell Inc, Bloomberg today reported, citing people familiar with the matter.

Lenders could include Credit Suisse, Royal Bank of Canada, Barclays and Bank of America,  and a deal could be announced as early as next week, said the report.

JPMorgan Chase & Co, which is advising Dell on the buyout, would also provide so-called staple financing to the group led by Silver Lake, added the report..

Early this week, several media reports said that Dell, the world's third-largest personal-computer maker, is in talks with TPG Capital and Silver Lake for a leveraged buy-out, which would value the Round Rock, Texas-based company at around $20 billion. (See: Dell in talks with buy-out firms to go private: report)

A buyout would require the backing of CEO and founder Michael Dell, who is also the company's largest shareholder with a 15.7-per cent stake.

Under the talks, Michael Dell, whose stake is valued at $3.45 billion, based on yesterday's closing price, would roll his stake into the buyout, Bloomberg said.