Thoma Bravo offered Ping Identity shareholders a transaction price of $28.50 per each share of the company held, which values the intelligent identity solutions company at $2.8bn


Thoma Bravo to acquire Ping Identity. (Credit: Sigmund on Unsplash)

US-based private equity investor Thoma Bravo has agreed to acquire Ping Identity, a provider of intelligent identity solutions, in an all-cash transaction worth $2.8bn.

Under the terms of the agreement, Ping Identity shareholders are expected to receive $28.50 per share of the company held.

The transaction price represents around 63% premium to Ping Identity’s closing share price, and a 52% premium over 60 days volume weighted average price, as of 2 August.

Ping Identity Board of Directors unanimously approved the transaction.

Vista Equity Partners, which owns nearly 9.7% of its outstanding shares, has agreed to vote its shares in favour of the acquisition, said the company.

Ping Identity chief executive officer Andre Durand said: “This compelling transaction is a testament to Ping Identity’s leading enterprise identity solutions, our talented team, and our outstanding customers and partners.

“Identity security and frictionless user experiences have become essential in the digital-first economy and Ping Identity is better positioned than ever to capitalise on the growing demand from modern enterprises for robust security solutions.

“We are pleased to partner with Thoma Bravo, which has a strong track record of investing in high-growth cloud software security businesses and supporting companies with initiatives to turbocharge innovation and open new markets.”

The transaction, which is not subject to any financing contingency, is expected to close in the fourth quarter of this year, subject to customary closing conditions.

The closing conditions include approval by Ping Identity shareholders and regulatory approvals.

Upon closing, the intelligent identity solutions provider will become a privately held company, where its common stock will be de-listed from the New York Stock Exchange.

Goldman Sachs & Co. served as exclusive financial advisor and Kirkland & Ellis as legal advisor to Ping Identity, while Goodwin Procter acted as legal counsel to Thoma Bravo on the transaction.

Thoma Bravo managing partner Seth Boro said: “Ping Identity’s unique capabilities and strong position in enterprise identity security make it a great platform to deliver customer outcomes, expand into new use cases and support digital transformations.”

Thoma Bravo partner Chip Virnig said: “Ping Identity is a leader in intelligent identity solutions for the enterprise and is well-positioned to capitalise on the significant opportunities in the $50bn Enterprise Identity security solutions area.

“Our shared commitment to growth and innovation, combined with Thoma Bravo’s significant security software investing and operational expertise, will enable Ping Identity to accelerate its cloud transformation and delivery of industry-leading identity security experiences for the customers, employees and partners of large enterprises worldwide.”