SolarWinds announced Wednesday that it has entered into an agreement to be acquired by Silver Lake Partners and Thoma Bravo, private equity firms.
Under the terms of the deal, SolarWinds stockholders will receive $60.10 per share, worth a total buyout of about $4.5 billion in cash. That price is about 43.5 percent higher than the closing price of SolarWinds’ stock on Oct. 8, the day before it announced it was exploring strategic alternatives.
SolarWinds’ board of directors approved the agreement following a “comprehensive review of strategic alternatives,” according to a news release.
“This transaction recognizes the strength of our unique business model and provides our shareholders with immediate and substantial cash value at a compelling premium,” Kevin B. Thompson, President and Chief Executive Officer of SolarWinds, said in a news release.
Becoming a private company will provide SolarWinds flexibility to executive on its long term plans, Thompson said.
The deal is expected to close in the first quarter of next year pending stockholder and regulatory approval.
SolarWinds announced Wednesday its acquisition of Papertrail, a cloud-based log management startup, for $41 million.
Papertrail’s technology allows Solarwind to offer the best solutions to monitor and manage cloud-based applications, websites and infrastructure, the company said in a news statement. Papertrail lets technical workers collect and shift through log data on servers, apps and cloud-based systems.
Solarwinds already offers Pingdom and Librato for cloud management and now Papertrail.
“The acquisition of Papertrail adds another key element of that overall performance monitoring experience and we look forward to having the Papertrail team and technology as part of our organization,” Kevin Thompson, SolarWinds President and CEO, said in a news release.
Twelve Austin companies made Deloitte’s annual Technology Fast 500 list, up from eight companies last year.
Deloitte ranks the fastest growing private and public companies in the technology industry. Five of the companies made the list last year and again made the list this year including Kinnser Software, 181, Bazaarvoice, 186, SailPoint, 233, HomeAway, 404 and SolarWinds, 405.
Phunware ranked highest on the list at the number four spot growing at 17,716 percent from last year, according to Deloitte. Q1 Media hit the list at 69th spot. And One Source Networks ranked at 160.
Others on the list included Cirrus Logic at 266, Zenoss at 299, Asure Software at 459 and Starmount at 498.