Dell has delayed Thursday’s vote on founder Michael Dell’s plan to take the slumping computer maker private in a sign the board needs more time to rally support.
The vote was scheduled at a special shareholders meeting at the company’s headquarters in Round Rock, Texas. Dell called the meeting to order, then quickly adjourned it without a formal vote.
It was rescheduled for July 24.
The postponement is a significant setback for Michael Dell and the company’s board, which has spent the past five months trying to persuade shareholders to approve the buyout proposal.
The mounting opposition to the deal is likely to increase the pressure on Michael Dell and a group led by investment firm Silver Lake to sweeten their offer. It’s unclear whether Silver Lake and other lenders financing the bid will be willing to raise the stakes, given a deepening slump in the PC market that has been causing Dell’s earnings to crumble.