Michael Dell Considered Taking Dell Private

Reuters) - Dell Inc's Michael Dell revealed on Thursday he had once considered taking the company he founded private, sending shares in the No. 3 PC maker surging as much as 6.4 percent.

The comment caused the stock to spike a half-hour before the market's close on speculation about a buyout premium, but analysts said many pieces would have to fall in place for such a deal to happen.

Kaufman Bros analyst Shaw Wu said Dell going private was not out of the question, but said it would take plenty of outside financing and would not change the company's structural problems or necessarily improve its ability to compete with the likes of Hewlett-Packard Co and Apple Inc.

"It's possible, but it would require a lot of funding. They would probably need private equity and some other financing," he said.