Citrix merges with TIBCO to ‘deliver the future of hybrid work’

Citrix Systems and TIBCO Software will combine under the terms of a new deal. Citrix announced Vista Equity Partners and Evergreen Coast Capital Corp. will acquire it in an all-cash transaction valued at $16.5 billion.

The terms of the acquisition were unanimously approved by Citrix’s voting board of directors. Under the terms of the deal, Citrix shareholders will receive $104.00 in cash per share. The businesses expect to close the deal mid-year.

Citrix’s products help employees remotely access company software and services from any device. TIBCO makes enterprise data management, integration and analytics software. Citrix and TIBCO will be able to better address hybrid work, said Bob Calderoni in a statement. Calderoni is Chair of the Citrix Board of Directors and interim chief executive officer and president.

“Together with TIBCO, we will be able to operate with greater scale and provide a larger customer base with a broader range of solutions to accelerate their digital transformations and enable them to deliver the future of hybrid work,” said Calderoni.

Calderoni says the transaction will help Citrix capitalize on emerging market opportunities. He pointed specifically to Desktop as a Service (DaaS). DaaS, another permutation of anything as a service, is a small but fast-growing segment of public cloud services, according to market research firm Gartner.

Citrix separately reported fourth quarter and FY2021 financial results for the quarter and year that ended on December 31, 2021. The company reported $851 million in revenue, a 5% year-over-year improvement. It ended its fiscal year with $3.22 billion in revenue, a 1% decrease over 2020. Citrix did not hold a call to discuss the results as a result of the recently-announced transaction.

A rumor is that, Citrix was for sale or shopping itself around has repeated every few years. Almost since the company was created in 1989, really. Focus sharpened in 2021 following a Bloomberg report. As per the article, the company was working with advisors to sell itself. CEO David Henshall left the following month. The Wall Street Journal reported in January that Vista and Evergreen owner Elliot Management Corp. were in negotiations to buy Citrix for $13 billion.