Tibco Software, an infrastructure and business intelligence software company, announced its board of directors has agreed to be acquired by Vista Equity Partners, a private equity firm, for $4.3 billion.
Vista, which has $13.5 billion in cumulative capital commitments on software, data and technology-enabled companies, will pay stockholders $24-per-share in cash. The price is a 26.3 percent premium on Tibco's closing price of its common stock on September 23.
The deal, which still needs to be approved by regulators and by Tibco's stockholders, will be the largest technology buyout this year, according to Reuters. If approved, the transaction is expected to be finalized at the end of Q4.
"Over the course of Tibco's comprehensive review, the special committee and its advisors evaluated a wide variety of strategic and financial alternatives, including a sale of the company," says David West, a member of Tibco's board and special committee. "In reviewing the sale alternative, Tibco engaged in an extensive process involving a large and diverse group of strategic and financial buyers. Ultimately, the Board concluded that the sale...is the best way to maximize value for our shareholders."
Pending approval, Tibco will be the sixth public company Vista has taken private in the past three years.
Bill Murphy, CTO of Blackstone, once again joins the podcast to discuss the private equity firm's new offices, designed to house its innovations team.Subscribe to Weekly Wrap emails