Support for Dell buyout weakens

Feb 12, 2013, 5:57 PM EST
A man pushes a trolley full of Dell computers through a company factory in this June 2, 2011 file photograph.

Investment company T. Rowe Price, Dell's second largest outside investor, joined the largest outside shareholder Southeastern Asset Management in saying that it won’t back the proposed $24.4 billion buyout of the PC maker. T Rowe Price and Southeastern control nearly 13% of Dell's stock. Their rejection of the offer led by founder Michael Dell suggests that he may have to raise the premium that the proposed buyout represents to the company’s recent beaten-down share price.