Citrix Acquired by Vista and Evergreen Coast Capital for $16.5 Billion

Issue 108

Citrix Systems will be going private in an acquisition valued at $16.5 billion. The company will be bought out by Vista Equity Partners and Evergreen Coast Capital Corp. which is the private equity branch of Elliott Management Corp. Stockholders of Citrix will receive $104 per share.

Citrix is known for making software that allows users to access their computers through cloud services, and the addition of Citrix’s capabilities combined with Vista’s Tibco to create a data management software that will cater to 400,000 customers, 100 million users, and span across 100 countries. Citrix will keep its name and the location of its headquarters in Florida.

Citrix has been struggling to maintain decent revenue and thus has accumulated significant debt. This has made Citrix a target for private equity firms.

Investors of Citrix have been exploring the sale of the company and requested that David Henshall, president, and chief executive of the company, step down in October in preparation for the sale. Vista Executive Monti Saroya believes that Cintrix going private will benefit the company as it will give more freedom to invest in growing markets.

Source: Bloomberg