The deal will enable the publicly listed company in the US to become private
QAD to be acquired by Thoma Bravo for $2bn. (Credit: Gerd Altmann from Pixabay)
Thoma Bravo has agreed to acquire QAD, a cloud-based manufacturing and supply chain solutions provider, in an all-cash deal worth around $2bn.
As per the terms of the agreement, QAD’s shareholders will be paid $87.5 per share.
The deal will enable the publicly listed company trading on Nasdaq to become private.
The transaction will provide QAD with the flexibility to continue making investments in developing and deploying enterprise resource planning (ERP) software and related enterprise software for manufacturing firms across the globe.
QAD CEO Anton Chilton said: “Thoma Bravo has a deep appreciation for the world-class team, reputation and portfolio we have built at QAD, and with their strong support we are excited to take our business to the next level.
“As a private company owned by Thoma Bravo, we will have enhanced flexibility, focus and resources to invest in – and capitalize on – our expanding growth opportunities, and help our customers thrive in an increasingly dynamic manufacturing environment.”
Post-acquisition, Chilton will continue in his role and the company’s headquarters in Santa Barbara, California will be retained.
Established in 1979, QAD has 30 offices around the world. The company claims that its solutions have been deployed by more than 2,000 manufacturing companies.
Its solutions include ERP, demand and supply chain planning (DSCP), quality management system (QMS), and global trade and transportation execution (GTTE).
The cloud-based ERP software provider has more than 1,930 employees and its FY21 revenue is $308m.
Thoma Bravo managing partner Scott Crabill said: “As the pace of change continues to accelerate and supply chains become more complex, we are committed to supporting QAD in delivering its vision and ensuring the Company is well equipped to further expand its reach and portfolio.
“We look forward to partnering with Anton and his team to cement the Company’s positioning as the intelligent, agile, and innovative partner of choice for Adaptive Manufacturing Enterprises.”
QAD’s founder and president Pamela Lopker plans to retain a considerable stake in the company.
The deal is expected to be wrapped up in Q4 2021, based on the meeting of customary closing conditions. These include the approval of owners of the majority of QAD’s shares not held by Lopker, her affiliates, other directors, and officers of the company.