NetApp stocks acquire a new shareholder, the fund responsible for the previous sale of BMC Software.
Doin' Some Shareshopping: Elliott Management's New Play at NetApp
Hey there! Let's chat about elliot management shaking things up in the tech world!
Why so serious, NetApp? Elliott Management, an infamous activist investment firm, got its claws into the enterprise storage giant - and it seems they're shaking up the board too. Bloomberg dropped a bomb, claiming that Elliott Management's got 'em by the proverbial you-know-what.
Now, we know that NetApp's been steadily growing like a boss for a while, but apparently, that's come to a screeching halt. Last quarter, sales only ticked up by 4%, reaching $1.6 billion. That's right, $1.6 billion - which ain't chump change - but product sales? They took a minor dip.
Lost your job lately, NetApp employees? Rumor has it they're planning to slash 1,300 positions, which accounts for around 10% of their workforce. An ounce of prevention is worth a pound of cure, right?
No hard evidence suggests that NetApp's looking to sell, but all the tech pundits on the hill are whispering that it's a real possibility. So, who's got their eyes on the prize? Common wisdom points to Oracle and Cisco.
Earlier this month, BMC Software embraced the prospect of being acquired by a pack of private equity vultures, for an eye-watering $6.9 billion. Elliott Management, who owns a sizeable 5% stake in BMC, flexed its muscles by penning a letter to the board, advocating for a sale.
So, stay tuned, folks! With Elliott Management making moves, there's no telling what's next for NetApp. Oracle and Cisco better be ready to grab their share of the pie - or someone else may snatch it out from under them!
The financial consequences of Elliott Management's involvement with NetApp might be significant, as the activist investment firm is pushing for changes within the company.
Oracle and Cisco could potentially acquire NetApp, following Elliott Management's advocacy for a possible sale, adding to their existing portfolios and expanding their market presence in the tech world.
