Icahn agrees to limit Dell stake

Billionaire investor Carl Icahn has agreed to limit his investment in Dell Inc and in return can team up with other shareholders on a potential bid for the personal computer maker,Dell said on Tuesday.

An agreement with Icahn prevents him from buying shares that would bring his Dell ownership to more than 10 per cent or signing deals with other shareholders that would bring their collective ownership to more than 15 per cent,Dell said.

Icahn,who owns a 1 billion stake in Dell,is part of a group of shareholders opposed to a proposal by founder Michael Dell and private equity firm Silver Lake to take the company private.

Icahn and private equity firm Blackstone have each offered alternative that would keep part of the company public. They have had talks about working together.