Investors to Create World’s Largest Software Provider
Elliott Investment Management and Vista Equity Partners plan to combine their recent purchase Citrix with Tibco Software, a data management and analytics firm, effectively creating the world’s largest digital workspace software provider, according to Tibco.
“Citrix and Tibco provide mission-critical software and services to many the world’s most successful businesses, and we see tremendous value in combining their respective world-class offerings to help companies gather insight from the growing volumes of data generated by the hybrid work economy,” said John Stalder, Managing Director, Vista Equity Partners.
Under the terms of the agreement, Vista and Elliot’s private equity arm, Evergreen Coast Capital Corporation, will pay US$104 in cash per share. This represents a purchase price 30 percent above Citrix’s closing share price on Dec. 7, before speculation emerged about the deal. The finalized agreement represents the first big leverage buyout of the year. In connection with the transaction, the investment firms intend to combine Citrix and Tibco Software, one of Vista’s portfolio companies and global leaders in enterprise data management.
Independently, Citrix played an essential role in enabling about 400,000 businesses to keep workforces connected to central operations as they adopted remote and hybrid work models during the COVID-19 pandemic. Tibco would substantiate Citrix’s secure digital workspace application delivery suite with real-time intelligent data and analytics capabilities, thereby providing users and customers data insights needed to accelerate their digital transformation and navigate the hybrid workplace. Ultimately, the union will enable the companies to provide a complete, secure and optimized infrastructure for enterprise application and analysis.
“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. By combining with Tibco, we will expand this platform and the outcomes our customers achieve,” said Bob Calderoni, Interim CEO and President, Citrix.
With the remote and hybrid work models to stay, Citrix and Tibco are positioned to experience accelerated market growth in the year ahead.