Under the terms of the deal, shareholders of the publicly-listed Datto will be paid $35.5 per share in cash
Datto to be acquired by Kaseya. (Credit: Gerd Altmann from Pixabay)
Kaseya has agreed to acquire Datto, a Connecticut-based provider of security and cloud-based software solutions purpose-built for managed service providers (MSPs) for a sum of around $6.2bn.
As per the terms of the deal, shareholders of the publicly-listed Datto will be paid $35.5 per share in cash by Kaseya. The latter is a Florida-based IT management and security software provider that caters to MSPs and small to medium-sized businesses (SMBs).
The deal will be financed by an equity consortium led by Insight Partners. Considerable investment in the deal will be made by TPG and Temasek, with notable investors such as Sixth Street also taking part.
Kaseya CEO Fred Voccola said: “This is exciting news for Kaseya’s global customers, who can expect to see more functional, innovative and integrated solutions as a result of the purchase.
“Datto has a legendary commitment to its customers and employees. The alignment of our missions and focus makes us a natural fit, that will help our greatly appreciated customers reach new levels of success.”
Datto offers MSPs with unified continuity, endpoint management, networking, and business management solutions for driving cyber resilience, efficiency, and growth.
Founded in 2007, the company also has offices in Canada, Australia, Denmark, China, Israel, Germany, the Netherlands, the UK, and Singapore.
Datto CEO Tim Weller said: “Datto has always been committed to creating world-class technology for SMBs and delivering it through our global network of MSPs to align our growth with the channel. Combining with Kaseya brings together a broader array of technology products to create additional opportunities for MSPs.
“I’m encouraged by the continued investment in the rapidly-expanding global MSP community, and this transaction is another important validation of the channel.”
The deal, which is subject to regulatory approvals and other customary conditions, is currently anticipated to close in the latter half of this year.
Apart from unanimous approval from the board, Datto’s shareholders who have an aggregate around 70% of the issued and outstanding shares of the firm have approved the deal by written consent.