LogMeIn ate the Citrix GoTo business

LogMeIn, Inc. (NASDAQ: LOGM) and Citrix Systems, Inc. (NASDAQ: CTXS) announced that the two companies have entered into a final merger agreement whereby LogMeIn will merge with Citrix’s GoTo branch.

The value of the transaction is approximately $ 1,8 billion (HUF 512,5 billion), based on the shares to be issued and the closing price of LogMeIn on July 2016, 25 of $ 65,31. The transaction, which was unanimously approved by the boards of directors of Citrix and LogMeIn, is expected to be tax-exempt for Citrix and its shareholders due to U.S. interstate income tax. The combined company is expected to generate revenue in excess of $ 1 billion, with more than two million customers in virtually every country in the world. By completing the transaction, the merged company is expected to achieve projected cost synergies of $ 65 million to Citrix and LogMeIn shareholders by the end of the first year, and to exceed $ 100 million in the second year.