In what apparently is the biggest leveraged buyout since 2007, Michael Dell - 47-year-old founder and CEO of computer firm Dell Inc. - has reached an agreement with private-equity firm Silver Lake Management LLC for a $24.4 billion buyout of Dell.

The deal between Michael Dell and Silver Lake Management materialized after nearly six months of negotiations; and will help Dell go private in a massive leveraged buyout, which has taken a lot of industry-watchers by surprise.

Although most of the leveraged buyouts are generally initiated by LBO firms, the leverage buyout of Dell was Michael Dell's deal right from the outset; and was essentially aimed at reinventing the presently-struggling computer firm which he founded thirty years back.

According to an unidentified source aware of the proceedings at Dell, the leveraged buyout of the company will - as per the terms of the deal - require Michael Dell to contribute his 15.7 percent stake, which is worth over $3.6 billion, along with an additional $700 million.

The mentioned contribution by Michael Dell will give him a majority stake in the computer company. Meanwhile, Silver Lake will make an investment of approximately $1.4 billion in the buyout; Microsoft Corp. will invest nearly $2 billion; and around $13 billion will be financed by banks.

Noting that Michael Dell is committed to his job as Dell's chairman and CEO, the company's Chief Financial Officer Brian Gladden said: "Financially, he (Michael Dell) is putting a lot of capital into this process."