Investment Research report

Forescout Technologies Inc.

NASDAQ:
fsct
Previous Item
All Reports
Forescout Technologies Inc.
Foresight Into A Bad Deal
Download Report
Forescout Technologies Inc.
Download Report 2
Forescout Technologies Inc.
Download Report 3
Forescout Technologies Inc.
Download Report 4
Forescout Technologies Inc.
Download Report 5
Forescout Technologies Inc.
Download Report 6
Forescout Technologies Inc.
Download Report 7

Research Overview

INDEX:
S&P 500
Sector:
Technology
Position:
Short
Date:
May 13, 2020

After conducting a forensic financial and accounting review, Spruce Point believes Forescout Technologies Inc.’s (Nasdaq: FSCT), a cybersecurity company, announced purchase by Advent International for $33/share in a $1.8bn deal has been ascribed too high a probability that it is a done deal. Based on our investigation, we estimate 35% to 50% downside risk, or $17-$22 regardless of whether the deal is renegotiated or annulled completely.

The report highlights several key concerns with the company, including:

  • We believe that the deal with Advent International has a high risk of being amended or terminated 
  • Evidence shows that Forescout’s complete financial outlook may not have been shared with prospective buyers
  • Background on a busted dinosaur IPO leading to greater pressures remarketing debt capital in a highly discriminating environment
Downloads & More

Research Assets & Releases

Join The Mailing List

Spruce Point Alerts & Updates

Information, analysis and actionable ideas to help you reach your investment goals