STWRY - Silver Lake to launch $2.42B public takeover offer for Software AG backed by Software AG Foundation

2023-04-24 03:01:28 ET

• Silver Lake is acquiring Software AG ( OTCQX:STWRY ) for ~$2.42B, the German software maker said Friday.
• The deal values Software AG at €30/share, representing a premium of 53% to Software AG's closing price of €19.59 on Thursday. The offer also comes with a substantial premium of 48% to the three-month volume-weighted average share price.
• The move aims to strengthen the company's business and growth and will support the company's strategy and customers.
• The Software AG Foundation, Software AG’s largest investor, supports the deal and is selling a 25.1% stake to Silver Lake, it said, noting that Silver Lake aims to delist Software AG shares.
• The foundation will continue to own 5% of the company's stock. The retained 5% of shares are subject to a lock-up.
• Software AG said its board welcomed the voluntary public tender offer and intends to recommend its approval.
• In the past, Silver Lake had already invested €344M in Software AG via a convertible bond in Feb. 2022.
• The takeover offer will be subject to further customary conditions, including the receipt of applicable regulatory approvals.
• Software AG also provided an update on its first-quarter earnings and said it is performing in line with market expectations. Guidance remains unchanged, it added .

For further details see: