Anaplan Inc shares (NYSE: PLAN) soared over 25% this morning after Thoma Bravo said it will buy the business-planning software company for $10.7 billion in cash.
Anaplan shareholders to get a 30% premium
The buyout offer from the private equity company translates to $66 a share, a premium of more than 30% on where PLAN closed the regular session on Friday. In the press release, Anaplan CEO Frank Calderoni said:
The acquisition is a clear validation of our team’s outstanding work and the start of an exciting new chapter for Anaplan, our customers, and our partner ecosystem. We are confident that Thoma Bravo’s resources and insights will help us accelerate and scale our growth strategy.
The acquisition will see Anaplan go private later this year. Also on Monday, Nielsen Holdings rejected a $9.13 billion offer from Consortium.
Deal to close in the second quarter of 2022
Calderoni will continue to lead the company after the completion of the transaction, expected in the second quarter of 2022. Commenting on the acquisition, Needham analyst Scott Berg wrote:
We think the transaction valuation is reasonable for a company we expected to grow revenue at greater than a 30% annual rate in FY23 with a leading position in a large market opportunity. The price is highly opportunistic and advantageous.
Berg, however, downgraded Anaplan to “hold” on Monday. The stock is now up about 40% for the year.