Thursday, January 29th0.6°C
24779
23931

Private equity firm Thoma Bravo to buy software developer Compuware for $2.5 billion

Private equity firm Thoma Bravo will spend about $2.5 billion to buy Compuware and take the software developer private.

The companies said Tuesday that Compuware stock owners will receive about $10.92 for each share they own. That price includes mostly cash and some stock from Compuware spinoff Covisint.

It represents a premium of about 17 per cent to the Detroit company's Friday closing price. Compuware Chairman Gurminder S. Bedi said in a statement that the deal will give shareholders an immediate cash value and provide an opportunity to complete the spinoff of Covisint, which went public in September 2013.

Compuware said its board unanimously approved the deal and recommends shareholders vote for it as well. The company's largest shareholder, activist investor Elliott Management, has already agreed to vote in favour of the deal.

Elliott holds a 9.6 per cent stake in Compuware Corp. and tried to acquire the remaining stake in the company with a $2.35 billion bid that Compuware rejected last year.

Thoma Bravo and Compuware expect their deal to close early next year.

Shares of Compuware gained more than 12 per cent, or $1.17, to $10.52 in Tuesday morning trading, while broader indexes rose slightly. Covisint shares fell 8.5 per cent, or 41 cents, to $4.40.

The Canadian Press


Read more Business News

24909


Recent Trending




Today's Market
S&P TSX14546.09-56.79
S&P CDNX663.50-3.80
DJIA17259.70+68.33
Nasdaq4632.204-5.79
S&P 5002004.07+1.91
CDN Dollar0.7907-0.0073
Gold1286.60-5.10
Oil45.86-0.50
Lumber320.90+5.40
Natural Gas2.87-0.111

 
Okanagan Companies
Pacific Safety0.120.00
Knighthawk0.010.00
QHR Technologies Inc1.46-0.01
Cantex0.04+0.005
Anavex Life Sciences0.181-0.001
Metalex Ventures0.04+0.005
Russel Metals23.27-0.43
Copper Mountain Mining1.000.00
Colorado Resources0.135-0.01
ReliaBrand Inc0.01+0.0031
Sunrise Resources Ltd0.05+0.02
Mission Ready Services0.235+0.025

 



24497

FEATURED Property
21594021112 Westpoint Drive
10091548 bedrooms
$299,000
more details
image2image2image2
Click here to feature your property
Please wait... loading


Leaving a job: changing careers

Many people, who find themselves out of work and with time on their hands, and money in their pockets due to lay-off, start thinking about a career change. If you weren’t happy with the directio...


Service fit makes happy employees

Finding the right employees for the front lines of your company is key to developing a great service attitude within your company. It is just as important as hiring the right accountant, manager, sale...


How to price: workbook approach

In 2008 Self Counsel Press published my book - Pricing Strategies for Small Business. The book is now available in Europe, India, Russia and the United States. The purpose of the book was to make avai...

_



24709




Member of BC Press Council


24697