Thoma Bravo To Acquire QAD At $20% Premium

Private equity investment firm Thoma Bravo inked an agreement to acquire cloud manufacturing and supply chain solutions provider QAD Inc QADA for $87.5 per share in an all-cash transaction with an equity value of $2 billion.
The purchase price signifies a 20% premium to QAD’s Friday closing price of $72.9.
QAD will become a private company with the flexibility to continue investing in developing and deploying Enterprise Resource Planning (ERP) software and related enterprise software for manufacturing companies.
Anton Chilton will continue to lead QAD as CEO, and the company will maintain its headquarters in Santa Barbara, California.
QAD beat the first quarter FY22 revenue consensus by 5.2% to $82.97 million from robust subscription, license, and professional service revenues. It missed EPS consensus by 25% to $0.09.
It generated $22.1 million in operating cash flow.
It held $153.1 million in cash and equivalents.
Price action: QADA shares traded higher by 19.1% at $86.84 in the premarket session on the last check Monday.