Feeds

Symantec scratches head over balance sheet, calls in JPMorgan

Bankers drafted in to stave off activist investor threat - reports

Choosing a cloud hosting partner with confidence

Reports say Symantec, struggling to reverse a revenue slowdown, has called in JPMorgan Chase & Co. to look at its options and help fend off activist shareholders.

Symantec is a $6.7bn/year revenue company that is struggling to lift its earnings. The last quarterly report made that abundantly clear.

It fired its CEO Steve Bennett, after less than 18 months in the post, because the recovery effort he was leading wasn’t delivering the revenue raising goods.

Symantec_Annual_Revenues

Symantec annual revenues and profits – 2014 revenue number is based on Symantec estimates.

In March we wrote: “[Symantec’s] storage assets – Backup Exec, NetBackup and the Storage Foundation product sets – have been around for a long time, but revenues are down. It has also suffered from a declining PC business which has damaged its desktop security product sales.”

According to Bloomberg, Reuters and others, the board called in the bankers to because it feels Symantec’s share price and its potential value render it attractive to activist investors who could force management changes on the firm and restructure its business.

The share price fell to $18.20, a low point for 52 weeks, after the board fired Bennett. It has now risen to $20.25, which is still lower than at any time in the previous 50 weeks.

A search for a new CEO is underway and a banker’s view of the firm’s situation could inform that search as well as discussions with candidates. ®

Top 5 reasons to deploy VMware with Tegile

More from The Register

next story
'Kim Kardashian snaps naked selfies with a BLACKBERRY'. *Twitterati gasps*
More alleged private, nude celeb pics appear online
Wanna keep your data for 1,000 YEARS? No? Hard luck, HDS wants you to anyway
Combine Blu-ray and M-DISC and you get this monster
US boffins demo 'twisted radio' mux
OAM takes wireless signals to 32 Gbps
Google+ GOING, GOING ... ? Newbie Gmailers no longer forced into mandatory ID slurp
Mountain View distances itself from lame 'network thingy'
EMC, HP blockbuster 'merger' shocker comes a cropper
Stand down, FTC... you can put your feet up for a bit
Apple flops out 2FA for iCloud in bid to stop future nude selfie leaks
Millions of 4chan users howl with laughter as Cupertino slams stable door
Students playing with impressive racks? Yes, it's cluster comp time
The most comprehensive coverage the world has ever seen. Ever
Run little spreadsheet, run! IBM's Watson is coming to gobble you up
Big Blue's big super's big appetite for big data in big clouds for big analytics
prev story

Whitepapers

Secure remote control for conventional and virtual desktops
Balancing user privacy and privileged access, in accordance with compliance frameworks and legislation. Evaluating any potential remote control choice.
Intelligent flash storage arrays
Tegile Intelligent Storage Arrays with IntelliFlash helps IT boost storage utilization and effciency while delivering unmatched storage savings and performance.
WIN a very cool portable ZX Spectrum
Win a one-off portable Spectrum built by legendary hardware hacker Ben Heck
High Performance for All
While HPC is not new, it has traditionally been seen as a specialist area – is it now geared up to meet more mainstream requirements?
Beginner's guide to SSL certificates
De-mystify the technology involved and give you the information you need to make the best decision when considering your online security options.