Data protection and cybersecurity solution provider, Carbonite, has announced it has entered a definitive agreement to be acquired by OpenText. The Enterprise Information Management software and solution provider will acquire Carbonite for $23.00 per share in cash. The transaction values Carbonite at an enterprise value of approximately $1.42 billion and represents a 78 percent premium to Carbonite’s unaffected closing stock price on September 5, 2019, the final training day before a media report was published speculating about a possible sale process.
In a press statement, Steve Munford, Interim Chief Executive Officer and President/Executive Chairman of the Board of Carbonite said, “following expressions of interest from multiple parties, the Carbonite Board conducted a thorough and comprehensive process, which included contact with a number of strategic and financial parties, to identify the best way to maximize shareholder value. The Board strongly believes that a transaction with OpenText delivers compelling, immediate, and substantial cash value to shareholders.”
Munford continued, stating, “Carbonite has expanded its solutions to become a leader in cyber resiliency. We have grown through both organic and inorganic opportunities over the years, enhancing our routes to market, diversifying our customer base, and assembling a talented workforce, while adding meaningful scale. Joining with OpenText is an exciting next step for Carbonite.”
OpenText is a leader in Enterprise Information Management (EIM) both on-prem and for cloud services, providing the only complete solution for EIM with a comprehensive view of all the information within a business. OpenText operates in 40 countries, delivering a tested platform for growth and new sales opportunities.
This transaction is subject to customary closing conditions, including the tender of a majority of the outstanding shares of Carbonite common stock and regulatory approvals. Additionally, J.P. Morgan Securities LLC acted as financial advisor to Carbonite, and Skadden, Arps, Slate, Meagher & Flom LLP acted as legal advisor.
To read Carbonite’s full press release, click here.
Latest posts by Tess Hanna (see all)
- OwnBackup Raises $50 Million in Series D Funding - July 9, 2020
- Yellowbrick Announces General Availability of Cloud Disaster Recovery - July 8, 2020
- Cobalt Iron Adds VTL Multitenancy Capabilities to Compass - July 2, 2020