DETROIT—Private equity firm Thoma Bravo will spend about $2.5 billion to buy Compuware and take the software developer private.
The companies said September 2 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 weekend 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.
Compuware Corp. develops software and services to optimize the I.T. system performance.
Chicago-based Thoma Bravo is a private equity investment firm with a focus on application and infrastructure software and technology.