> Mike Lynch sold Autonomy to US computer giant Hewlett Packard (HP) for $11bn in 2011.
> He denies allegations that he fraudulently inflated the value of Autonomy before the sale.
So the company is actually worth what? Let's say one half, $5 billion, and HP expects to make how much more? Let's say at least twice, $22 billion. That's a large margin. Unless they expected to make just $11.5 billion from it.
AFAIK it was good old fashioned accounting fraud. Losses booked as marketing expenses, lifetime revenue of contracts booked immediately, bundling overpriced software with underpriced hardware to change the revenue mix to get better valuation multiples. The fact that such blatant fraud could be missed for so long is an indictment of everyone involved.
> He denies allegations that he fraudulently inflated the value of Autonomy before the sale.
So the company is actually worth what? Let's say one half, $5 billion, and HP expects to make how much more? Let's say at least twice, $22 billion. That's a large margin. Unless they expected to make just $11.5 billion from it.