The deal, which is still subject to shareholder approval, is expected to be completed by the end of 2024. Darktrace, known for its AI-enabled threat detection capabilities, went public on the London Stock Exchange in April 2021. The proposed acquisition by Thoma Bravo is seen as an opportunity for shareholders to receive a fair value for their shares and for Darktrace to gain a strong financial partner with deep software sector expertise.
Key takeaways:
- Darktrace, a U.K.-based cybersecurity firm, is set to go private in a deal that values the company at around $5 billion. The deal is being led by a newly formed entity called Luke Bidco Ltd., which is backed by private equity giant Thoma Bravo.
- Luke Bidco Ltd. has proposed an all-cash bid of $7.75 per share, a 44% premium on Darktrace's average price for the three-month period ending April 25. However, this premium drops to 20% when compared to Darktrace's closing price on the day before the announcement.
- Darktrace, founded in 2013, is known for its AI-enabled threat detection capabilities, using machine learning to identify abnormal network activity and various types of cyberattacks. The company went public on the London Stock Exchange in April 2021, with an opening-day valuation of $2.4 billion.
- The full valuation based on Thoma Bravo's offer amounts to $5.3 billion on a full-diluted basis, but the enterprise value is approximately $4.9 billion. The deal is still subject to shareholder approval, with completion expected by the end of 2024.