Elliott, AC Milan’s own fund, is ready to make a major investment in the cloud sector.
Elliott Management Corporation is an investment fund that in Italy has become known to all above all for being the owner of AC Milan. Everyone will remember the problems of the old property, represented by the controversial Chinese entrepreneur Yonghong Li, and the fact that she lost the club because she failed to meet her financial commitments.
But the American hedge fund certainly does not have its main sector of interest in football. Over the years it has invested in many sectors and from 1977, the year of its foundation, to today it earned nearly 40 billion. It is in the top 10 of the ranking of hedge funds that have had the most earnings since they were born. In 2021 alone, the gain was 6 billion.
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Elliott buys Citrix Systems: the details
Meanwhile, in these hours, news has come that Elliott decided to buy Citrix Systems, a US cloud computing company. As explained by colleagues from Calcioefinanza.it, it is about a bargain 13 billion dollars. She is also involved in this investment operation Vista Equity Partners. All this would be aimed at merging Citrix with Tibco, a company that produces software for data analysis and which is owned by Vista.
The two US funds intend to recognize a value of approximately 104 dollars per share, lower than the share at which the stock of Citrix closed last Friday but higher than 25% compared to the close on December 20. Elliott had already acquired stakes in the company founded in Texas in 1989 and which today has its headquarters in Florida. For some months now, the hedge fund of Paul Singer he was looking for a partner to buy the entire company. Now the operation conducted together with Vista Equity Partners seems close to completion. As mentioned above, an investment of approximately $ 13 billion.
Citrix, which makes products that allow corporate employees to access their network remotely, failed to take sufficient advantage of the increase in remote working during the pandemic. As reported by The sun 24 hours, it has spent too much on its sales force and little on its distribution partners. Operating income in the first three months of 2021 decreased compared to the first quarter of 2020, due to the greater weight of operating expenses.
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