Sep. 2, 2014, 9:53 AM
- P-E firm Thoma Bravo is buying Compuware (NASDAQ:CPWR) for $2.5B. The firm is paying $10.43/share in cash, and assigns a $0.67/share value to the distribution of Compuware's remaining Covisint (COVS +8.5%) shares. $0.18/share is deducted from the buyout price for tax payments related to the Covisint spinoff.
- The deal ends a very lengthy sales process that reportedly saw several bids from P-E firms, and resulted in multiple activists getting involved. Elliott Management (9.5% stake) backs Thoma Bravo's bid.
- Shares remain halted.
- Earlier: Compuware reportedly in sale talks
Sep. 26, 2013, 9:03 AM
- Compuware (CPWR) prices 6.4M shares (960K overallotment) of its Covisint (COVS) unit spin-off at $10/share. Trading is expected to begin today on the Nasdaq under the symbol "COVS."
- The unit's revenues rose 21.5% in FY 2013 to $90.7M, while net loss expanded to $5.6M from $3.3M in the previous year. (S-1)
- The move to spin off its business process cloud platform division comes after Compuware began shopping itself to P-E firms in Aug. and after that plan stalled in "limbo."
- Shares closed at $11.20 yesterday, above the $11 mark of an offer Compuware rejected back in Jan.