SolarWinds Corp Reportedly Eyes Potential Sale, Stock Soars

SolarWinds Corp SWI stock is trading higher Friday after reports indicated the company is exploring options, including a potential sale.

The Silver Lake Management and Thoma Bravo-controlled software provider tapped financial advisers to prepare a sale process that will likely kick off in early 2024, Bloomberg cites familiar sources.

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In late 2020, SolarWinds faced a significant cyber-attack by hackers tied to the Russian government, compromising data of up to 18,000 customers.

In August, SolarWinds reported a second-quarter FY23 revenue growth of 5% year-on-year to $185 million, beating the consensus of $179.5 million. Adjusted EPS of $0.21 beat the consensus of $0.17.

SolarWinds expects FY23 revenue to be $740 million - $748 million versus the consensus of $734.18 million.

SolarWinds projects FY23 non-GAAP EPS outlook to $0.76 - $0.79 versus the consensus of $0.73.

Price Action: SWI shares traded higher by 6.86% at $9.50 on the last check Friday.