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Micro Focus shares plunge by 46% as CEO departs | Business | The Guardian Micro Focus shares plunge by 46% as CEO departs | Business | The G......

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Micro Focus shares plunge by 46% as CEO departs | Business | The Guardian
Micro Focus shares plunge by 46% as CEO departs | Business | The G... https:
www.theguardian.com
usiness/2018/ma
19/micro-focus-ceo-...
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Micro Focus shares plunge by 46% as CEO departs | Business | The G... https:
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usiness/2018/ma
19/micro-focus-ceo-...
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Financial Accounting Theory

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Answered Same Day Sep 15, 2021

Solution

Sumit answered on Sep 15 2021
151 Votes
Micro Focus, a software firm also part of the FTSE 100 tech companies lost nearly half (about forty six percent) of its value after a very rocky merger with HP’s software division and the resignation of the Chief Operating Officer of the company. The Chief Operating Officer had only joined the firm just a few months ago. The shares of the company starting crashing as soon as the company announced that the revenue is decreasing at a rate faster than anticipated by the firm and also that the CEO of the firm has resigned from the job. After the announcement was made the shares of the company starting crashing and at the end of Monday, the shares closed at 10.11 euro per share. Chris Hsu the Chief Operating Officer of the company, previously ran the Hewlett Packard Enterprise software division and joined the Micro Focus firm as the Chief Operating Officer when the Packard Enterprise was acquired the Micro Focus in a deal of 6.60 Billion Euros. He will be replaced by...
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