- Blucora ( NASDAQ: BCOR ) rose 9% in premarket trading after agreeing to sell its TaxAct tax software business to an affiliate of Cinven for $720 million in cash.
- After the sale of TaxAct, Blucora ( BCOR ) will rebrand as Avantax and focus on providing tax-focused wealth management through its independent broker dealer Avantax Wealth Management and its employee-based registered investment advisor Avantax Planning Partners, according to a statement.
- The closing of the TaxAct sale is not subject to any financing condition. Blucora ( BCOR ) expects the transaction to deliver after-tax net cash proceeds of approximately $620 million.
- The TaxAct sale comes after activist investor Ancora Holdings in February 2021 pushed for Blucora ( BCOR ) to explore strategic alternatives for its tax services business, including a sale.
- Also Blucora ( BCOR ) reported Q3 results earlier on Tuesday.
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Blucora jumps 9% after agreeing to sell TaxAct for $720M