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Elliott Management Corporation, which owns 9.6% of BMC Software
,
commented today on BMC's announced signing of a definitive agreement to be
acquired for $46.25 per share – approximately $6.9 billion in aggregate. The
transaction represents the culmination of an activist effort that began in the
summer of 2012 with a successful proxy contest in which Elliott added two
directors to BMC's Board.
“As large and engaged stockholders, we are pleased to have played a
constructive role in catalyzing this strategic move,” said Jesse Cohn, a
portfolio manager at Elliott. “We think this is a tremendous outcome for BMC's
employees, customers and stockholders.”
The bid offered by a private investor group led by Bain Capital and Golden
Gate Capital together with GIC Special Investments and Insight Venture
Partners represents a substantial premium to BMC's unaffected stock price.
“The investor group deserves a great deal of credit for recognizing this
exciting investment opportunity,” Cohn said.
Furthermore, the agreement contains a provision that allows BMC to solicit
alternative proposals from third parties who have not previously submitted
proposals for a period of 30 calendar days. This provision opens the door for
the creation of additional stockholder value.
“As BMC embarks on the next phase of its development, we have no doubt that it
will remain a formidable and relevant player in the IT Management Software
arena,” Cohn said. “We applaud BMC's board and executive team for their
leadership in delivering this value-maximizing outcome for stockholders.”
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