T. Rowe Price and the Dell Inc. MBO (B)

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Publication Date:
January 05, 2017

Source:
Harvard Business School

Industry:
Financial service sector

Supplement to case 317088. After deciding to oppose the Dell MBO, T. Rowe Price together with other dissident Dell shareholders sought appraisal of their shares in the Delaware courts. The appraisal process resulted in a significant increase in the price to be paid to dissenting shareholders for their Dell shares. T. Rowe Price discovered, however, that a voting glitch had resulted in T. Rowe’s shares being voted in favor of the transaction thus potentially disqualifying it from obtaining the increased value resulting from the appraisal. What obligations did T. Rowe have to its fund and other investors and should it do?

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T. Rowe Price and the Dell Inc. MBO (B)

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