![]() A year ago, after deducting the value of its VMware stake, Dell’s share price ascribed virtually no value to its remaining tech hardware business. ![]() Wall Street has also been wary of the complex financial engineering used to hold together the heavily indebted group. ![]() As part of the spinoff, VMware is paying a special dividend to shareholders of about $12 billion, helping Dell lighten a remaining net debt load that stood at $32 billion at the end of July. In other moves to try to appeal to a wider group of investors, Dell has said it will start paying a dividend.ĭell has been weighed down by debt after borrowing about $70 billion to finance its dealmaking. ![]() After the spinoff, Dell will be “a simpler company with a better capital structure,” said Krish Sankar, an analyst at Cowen.
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