Rocket Internet shares bring a billionaire new millions in profits

According to a media report, his investment company is set to make a total profit of 400 million euros - and receive twice as much per share as private investors did a year ago.

The investment company Rocket Internet is buying back the shares of major shareholder Elliott Management. Elliott is owned by US billionaire Paul Singer (77). Singer's investment company is to receive 35 euros per share, as the Manager Magazine reports. That would be almost twice as much as shareholders received a year ago when Rocket Internet was delisted from the Frankfurt Stock Exchange. Elliott is now said to have made a profit of 400 million euros, as reported by Manager Magazin. The Handelsblatt meanwhile, reported 200 million euros.

The latest deal could upset some shareholders: Rocket Internet went public in 2014. The issue price per share was 42.50 euros. Six years later, the company went public again on the Frankfurt Stock Exchange. Shareholders were to receive just 18.57 euros per share. This annoyed many shareholders, who did not accept the offer. Now they are likely to feel vindicated by the fact that Elliott Management received twice as much shortly afterwards.

Paul Singer's fortune is estimated by Forbes is estimated at around 4.3 billion US dollars. He is ranked 261st on the Forbes list of the 400 richest Americans. In 2019, he was ranked 19th among the top 20 highest-earning hedge fund managers. The investment company Rocket Internet, in which his company Elliott had invested, grows, builds, develops and strategically invests in internet and technology companies around the world.