Citrix Systems is being acquired and taken private in an all-cash deal valued at $16.5 billion and will be combined with data integration and analysis software developer Tibco.
Citrix is being bought by Vista Equity Partners and Evergreen Coast Capital, the latter an affiliate of Elliott Investment Management. Tibco has been owned by Vista Equity Partners since 2014.
The deal has been unanimously approved by the Citrix board of directors and is expected to close by mid-year, subject to customary closing conditions, Citrix shareholder approval and regulatory approvals. Elliott Management and its affiliates, which own about 12 per cent of Citrix shares, will vote their shares in favour of the deal.
The Citrix-Tibco merger “will create one of the world’s largest software providers, serving 400,000 customers, including 98 per cent of the Fortune 500 with 100 million users in 100 countries”, the companies said in a statement.
The combined company “will be positioned to provide complete, secure and optimised infrastructure for enterprise application and desktop delivery and data management to advance hybrid cloud IT strategies and meet the needs of the modern enterprise”, the statement said.
Citrix CEO Bob Calderoni said: “Today’s announcement is the culmination of a strategic review process conducted over five months, including extensive outreach to both potential financial and strategic buyers. This transaction provides our shareholders with significant immediate cash value. Moreover, this investment by Vista and Evergreen is a testament to the value Citrix has created and the reputation our team has built.”
“Over the past three decades, Citrix has established itself as the clear leader in secure hybrid work. Our market-leading platform provides secure and reliable access to all of the applications and information employees need to get work done, wherever it needs to get done,” Calderoni said.
