Rocket Internet shares bring a billionaire new millions in profits

According to a media report, his investment company is expected to make a total profit of 400 million euros - and get 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 departed from the Frankfurt Stock Exchange. Elliott is now said to have made a profit of 400 million euros, Manager Magazin reported. The Handelsblatt reports, meanwhile, of 200 million euros.

The latest deal could upset some shareholders: Rocket Internet had gone public in 2014. The issue price per share was 42.50 euros. Six years later, the company went off the Frankfurt Stock Exchange again. Shareholders were to receive just 18.57 euros per share. This angered many shareholders, who did not accept the offer. Now they are likely to feel vindicated by the fact that Elliott Management received double that amount a short time later.

The assets of Paul Singer are estimated by Forbes estimated at around 4.3 billion U.S. dollars. He makes it to 261st place in the Forbes list of the 400 richest US 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, multiplies, builds, develops and strategically invests in Internet and technology companies around the world.