Skip to main content

Market Overview

Private Equity Thoma Bravo Inks $9.6B Deal To Acquire RealPage: WSJ

Share:
Private Equity Thoma Bravo Inks $9.6B Deal To Acquire RealPage: WSJ

Chicago-headquartered private equity firm Thoma Bravo LP is acquiring property-management software maker RealPage Inc (NASDAQ: RP), the Wall Street Journal reports. RealPage’s leveraged buyout is valued at a purchase consideration of $9.6 billion.

What Happened: The private equity firm has agreed to pay $88.75 per share, representing a 31% premium to RealPage’s closing price on Friday.

RealPage’s stock tumbled to a 52-week low of $36.91 when the pandemic’s onslaught led to an overall slump in the stock market. Since then, the stock is up 59%.

The $9.6 billion deal is the largest acquisition by Thoma Bravo to date. It handles $70 billion in assets.

In October, Thoma Bravo raised $22.8 billion from its three funds; Thoma Bravo Fund XIV (a $17.8 billion fund), Thoma Bravo Discover Fund III (a $3.9 billion fund), and Thoma Bravo Explore Fund (a $1.1 billion fund).

Why Does It Matter: Steve Winn, chief executive officer of RealPage, remarked that the company’s preparedness “to go virtual” during the pandemic was a crucial growth driver, cites the WSJ report.

RealPage’s real-estate-rental software caters to the property owners and tenants by facilitating rental payments and acting as a database for lease transactions on a real-time basis. This database makes it possible to track property trends and estimate the market direction, the Journal noted.

Price Action: RP stock closed 0.92% lower on Friday at $67.83.

 

Related Articles (RP)

View Comments and Join the Discussion!

Posted-In: thoma bravo Wall Street JournalM&A News Top Stories Tech Media Best of Benzinga

Don't Miss Any Updates!
News Directly in Your Inbox
Subscribe to:
Benzinga Premarket Activity
Get pre-market outlook, mid-day update and after-market roundup emails in your inbox.
Market in 5 Minutes
Everything you need to know about the market - quick & easy.
Fintech Focus
A daily collection of all things fintech, interesting developments and market updates.
SPAC
Everything you need to know about the latest SPAC news.
Thank You

Thank you for subscribing! If you have any questions feel free to call us at 1-877-440-ZING or email us at vipaccounts@benzinga.com