Under the terms of the amended merger agreement, Thoma Bravo will pay $35 per share in cash for the American company’s shareholders and the revised per share offer is $6.4 higher than the initial transaction price of $28.6
Thoma Bravo increases buyout offer for Everbridge to $1.8bn. (Credit: aymane jdidi from Pixabay)
Software investment firm Thoma Bravo has increased its buyout offer to acquire Everbridge, a US-based critical event management and national public warning solutions firm, to $1.8bn.
Under the terms of the amended merger agreement, Thoma Bravo will pay $35 per share in cash for the American company’s shareholders.
The revised per share offer is $6.4 higher than the initial transaction price of $28.6 submitted by the software investment firm last month.
According to Everbridge, the sweetened proposal represents a premium of 62% to the company’s 90-day volume-weighted average share price as of 2 February 2024.
The original merger agreement included a go-shop period under which Everbridge could initiate and solicit alternative acquisition proposals.
In line with the go-shop activities, a third party proposed to acquire Everbridge at a higher price than the original transaction price.
As a result, Everbridge and Thoma Bravo signed the amended and restated merger agreement, providing higher prices for the former than offered by the third party.
Following the closing of the deal, Everbridge common stock will no longer be listed on any public stock exchange, and it will become a private company.
Everbridge board of directors chairman and lead independent director David Henshall said: “We’re pleased to have negotiated an even higher price for our shareholders.
“The interest we received as part of the go-shop process is a testament to the exceptional company we’ve built, the significant value of our products for organisations all over the world, and Everbridge’s long-term growth potential.”
Everbridge offers a suite of software-as-a-service (SaaS) products including mass notification, travel risk management, IT incident management, physical security information management, population alerting, and risk intelligence.
It aims to help keep people safe and organisations running amid critical situations.
Subject to customary conditions, regulatory approvals and Everbridge shareholders’ approval, the deal is anticipated to be completed in Q2 2024. The transaction is approved by the Everbridge board of directors.
Kirkland & Ellis is legal counsel to Thoma Bravo while Cooley is legal counsel to Everbridge. Qatalyst Partners serves as Everbridge’s financial advisor.