It takes a special kind of company to file for bankruptcy when most other tech companies are soaring/hot. How embarrassing.
Details of our Bankruptcy can be found here:
https://cases.stretto.com/riverbed
25 replies (most recent on top)
Jerry recommended at the time to only reinvest 25% of what you made when the company went private. That's what I did.
Luckily, I got laid off a while back and got paid out. Wiping out the Class A shares royally screws the employees that have stuck around on the sinking ship. I wonder what they must have bribed the upper level managers with to stick around. You would assume that they had a larger equity stake and must be compensated for that somehow.
With CH11 announced this really slaps the former and current employees in the face that believed in Jerry and Riverbed when they bought into the founder's stock. To wipe that out completely and not give the F/C EMP anything is sad. Karma is a bi--h and this will bite back.
I did not receive any documentation, instead I was informed by friends about what is going on. When I reached out to Stretto I was told the following (and I quote): "Current and former employees who are Class A Common Stock holders are not being asked to consent to the out-of-court exchange. Because Class A Common Stock will be diluted to zero or canceled and receive no recovery under the Plan, holders of Class A Common Stock are deemed to reject the Plan and are not entitled to vote."
Do people typically go to court when they lose money on bad investments? :D
Bankruptcies happen, especially when PE firms are in control. Anybody who thought buying Class A shares was a sure thing probably needed this wake up call.
Anyone want to take bets on whether this goes to court?
- If I lose, I'll pay you in equity.
Changing payroll dates to "hey, we're paying you right now just in case" is totally normal and not a cause for concern, definitely.
Does anybody think this could be a positive move for the company?
Riverbed refused to make the sales teams branch out beyond WAN op years ago when they had other viable products. Anyone that knew anything about IT knew the day would come when WAN op would not be nearly as important to customers and wouldn’t be able to sustain the company but sales leadership didn’t have the ba--s to make reps sell the portfolio. They were terrified of disrupting what they considered their safe revenue. Most of the one trick ponies are now off to other single product companies and aren’t suffering the shell that their lack of sales ability left behind.
this thread is like watching special olympics boxing, lol
doesnt matter what happened years ago. opnet and rvbd are done.
Happy 🎃, everyone. Smells like a lot of you got tricked.
The OPNET hate is hilarious. OPNET is the only part of this worthless company that can make any money. Riverbed is a joke and always has been.
Who is out there hating on Opnet almost a decade after the acquisition? There are far more ex-Opnet people hanging around waiting for retirement than Riverbedders from the WANOP glory days.
I'm sick of the OPNET hate. Does it have it's faults? Yah, Ok. Did Riverbed pay a billion dollars for it? Yeah, because that's what the company was WORTH. Hundreds of millions a year at acquisition, but it "brought nothing to the table"? Riverbed bought it and broke it and now everyone complains like its OPNET's fault.... But do we get to talk about how Mazu can't innovate it's way out of an unlocked room? Or forget innovation if that's too hard, why are we still selling software with browser popup windows in 2021??? You want to talk about useless chiefs? How about how AR squats out failure after failure but keeps being put in charge of more things, which he then (surprise!) fails to deliver on. How's that SD-WAN visibility thing going? We're going to get AR9 feature parity soon right? ( OPNET brought nothing to the table, and any day now we'll catch up to them.... ) How about that security story? Or this new project, something about hype? Lets talk about how bad everybody else is though sure.......
Current and former employees are equity holders. Class A and B are the last in the line to get anything https://youtu.be/mxVWyzzMOXM
Open roles in India still advertise riverbed as pre ipo company.
The question to current employees is if they still want to keep drinking the kool-aid with this “new” infusion of cash and continue having faith in leadership.
Not me. Why? Well, let’s see. Squandered SD-WAN with Ocedo. Spun off Aternity and overplayed their hand and now everyone sees the pig behind the lipstick. OpNet, still using their obsolete tech that has brought nothing to the table. The worst part? Too many useless chiefs not enough Indians.
Previous poster is correct, I left three years ago and got the details in the mail. We cannot vote.
Sounds bad. I thought they gave me like $200 when I left in lieu of the stock options so not sure why they mailed this to me.
It’s already in the trash, I barely glanced at it.
So this is really a fire sale. Sounds like TB has had enough with the underperformance and lack of innovation, and decided to work with Apollo group essentially fire sale the company and take their losses. Chapter 11 gets protection from previous debt, and allows for realignment and restructuring. I assume it's no different when a publicly traded company follows bankruptcy stock values plummet and investors sell off as quickly as they can to mitigate loss. I am curious to see if any of the founders stock, class A will even be worth a tenth of $1,000 per share that was paid. My gut says no, and that we have to accept the fact that TB it's fine but the capital loss considering there been getting an annual return on every item sold over the past 6 years of ownership.
So a 2021 tax write off for whatever we paid for Class A and Class B shares?
Anyone expecting any type of payout other than their salary is living in denial. I will be going to a company that either has stock offerings or at least the potential to. It’s the only way. Don’t be left behind in the rat race, unless you don’t care about it - which is fine too. This company is made for people want a steady paycheck and nothing more. Be honest with your own abilities and that will guide you to either stay or leave.
I don’t have class A, but I’d assume all incentive shares (A & B) are “Existing Interests”. These have no voting rights and are “100% impaired”. In other words, they are worthless, and there’s nothing you can do about it.
The Class A opportunity was marketed as giving you the same stock TB has. The bankruptcy/restructuring filings are so filled with legalese that it's impossible to get through, but if TB gets a different and more lucrative deal than the Class A purchasers, that'll be 100% evil on their end. Expect nothing less from private equity, I guess.
And the emplyees and ex employees that invested in Founder Stock, Class A are now all screwed!
Anyone know the employee Class A belong to which Class in the disclosure (Class 1-11)?
Former and current employees are not even entitled to vote.