According to Theflyonthewall.com, a Venture Capital firm has taken a 5.3% equity interest in Verisign.
The company is ValueAct and at the closing price of VeriSign of around $30 a share Verisign has a $5 Billion dollar market cap the investment is worth more than $250 Million.
According to the company’s website, Value Act:
ValueAct Capital was initially formed in June 2000 to manage the capital of its three founders, along with the capital of a limited number of outside investors, in an investment strategy that combines intensive due diligence, a concentrated number of investments, and active, constructive involvement in the value creation at those investments.
Today, with offices in San Francisco and Boston, ValueAct Capital manages more than $5.0 billion on behalf of some of the world’s most respected institutional and individual investors.
ValueAct Capital concentrates on acquiring significant ownership stakes in a limited number of companies that it believes are fundamentally undervalued. The investment team seeks to identify companies that are out of favor, or may be undergoing significant transition. Such companies may be temporarily mispriced for a variety of reasons, including perceived unfavorable industry conditions, poor business performance, changes in management or ownership, reorganizations, or other external factors. These conditions can often result in fundamentally “good” businesses that are available at depressed valuations. The goal in each investment is to work productively with management and/or the company’s board to implement a strategy or strategies that maximize returns for all shareholders.
At
maybe, 250 million to invest now, but no enough good startups to fund?
I predict some big changes for Verisign now these guys came aboard. Usually the mission is to increase shareholder valua at all costs.
Theo, they purchased 5% of the stock. Hardly enough to put them in a position to effect any substantial change in the company. This is a passive investment, nothing more.