Why Datto Holding Shares Are Rising Today

Datto Holding Corp MSP shares are trading higher Monday after the company announced it will be acquired by IT management and security software provider Kaseya for approximately $6.2 billion.

The companies entered into a definitive agreement in which Kaseya will acquire Datto for $35.50 per share in cash. The all-cash transaction will be funded by an equity consortium led by Insight Partners, with significant investment from TPG Capital and Temasek.

The transaction is expected to close in the second half of 2022. Upon completion, Datto's common stock will no longer be listed on the New York Stock Exchange.

Datto is a global provider of security and cloud-based software solutions purpose-built for managed service providers.

See Also: Why Veru Stock Is Surging Today

MSP Price Action: Datto has traded as low as $29.12 over a 52-week period. It's making new 52-week highs Monday.

According to Benzinga Pro data, the stock was up 20.9% at $34.73 at time of publication.

Photo: courtesy of Datto.