Citrix to be acquired in a deal valued at $16.5 billion, including debt

Citrix Systems Inc. announced an agreement Monday to be acquired for $16.5 billion, including debt, by affiliates of Vista Equity Partners and Evergreen Coast Capital Corp., which is an affiliate of Elliott Investment Management L.P. Citrix’s stock was halted for news until 8:30 a.m. Eastern. Under terms of the deal, Citrix shareholders will receive $104 for each share they own, which represents a 1.5% discount to Friday’s closing price of $105.55. The digital workspace provider said the per-share bid represents a 30% premium to the “unaffected” five-day volume-weighted average price as of Dec. 7, before market speculation of a buyout deal. As part of the deal, Vista and Evergreen plan to combine Citrix with Vista’s TIBCO Software, which they say will create one of the world’s largest software companies. “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,” said Citrix Chief Executive Bob Calderoni. “This transaction provides our shareholders with significant immediate cash value.” Citrix’s stock, which had rallied 31.7% since the Dec. 6 close through Friday, has tumbled 20.8% over the past 12 months, while the SPDR S&P Software & Services ETF has lost 7.5% and the S&P 500 has rallied 19.3%.

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