ESMT - EngageSmart Acquisition By Vista Equity Draws Multiple Downgrades: Analysts Project Steady Growth Amid Fair Valuation Concerns | Benzinga
Several analysts downgraded the rating on EngageSmart Inc (NYSE: ESMT) following the announcement of its acquisition by Vista Equity Partners.
Yesterday, the company inked a deal to be acquired for around $4.0 billion or $23 per share in an all-cash transaction.
The purchase price represents a premium of about 23% to the unaffected closing price of ESMT's shares on October 4, 2023, and a premium of about 30% over the volume-weighted average price (VWAP) for the 30 days ending October 4, 2023.
Raymond James analyst John Davis downgraded the rating to Market Perform from Strong Buy.
The analyst says the valuation is fair at 31x of ...