RealPage (NASDAQ:RP) announced on Monday that it signed a deal to be acquired by Thomas Bravo for a hefty sum of cash and RP stock is soaring higher.
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Here’s what investors in RP stock need to know about the deal between software and data analytics company RealPage and private equity investment firm Thomas Bravo.
- Thomas Bravo is acquiring RealPage in a deal valuing it at $10.2 billion when including net debt.
- This will have it paying a total of $88.75 in cash to shareholders for each share of RP stock that they own.
- That represents a 30.8% premium over the stock’s closing price on Friday.
- It’s also a 36.5% premium from RP stock’s 30-day volume-weighted average share price.
- RP investors will also be happy to hear that it’s a 27.8% premium from the stock’s highest closing price.
- RealPage will continue to operate out of its headquarters in Richardson, Texas once the deal is complete.
- It will also remain under the operation of its current executive tea, which includes chairman and CEO Steve Winn.
- RealPage’s Board of Directors have approved the deal and are advising RP stockholders to do the same.
- A special meeting of shareholders will be held in early 2021 to vote on the matter.
- The company notes that Winn and other shareholders representing a 10% stake in the company have agreed to vote in favor of the deal.
- RealPage is expecting the deal to close during the second quarter of 2021.
- If it does, the company will go private and its shares will be removed from the Nasdaq Exchange.
RP stock was up 29.8% as of Monday morning.
On the date of publication, William White did not have (either directly or indirectly) any positions in the securities mentioned in this article.
