BURLINGTON, Mass. & MIAMI - Everbridge, Inc. (NASDAQ:EVBG), a critical event management and national public warning solutions provider, has agreed to be acquired by private equity firm Thoma Bravo in an all-cash transaction valued at approximately $1.5B. The acquisition price of $28.60 per share represents a 32% premium over Everbridge's 90-day volume-weighted average share price.
Founded after the 9/11 attacks, Everbridge has developed a suite of Software-as-a-Service (SaaS) products aimed at keeping people safe and organizations running during critical situations. With over 6,500 customers, including enterprises across various industries and government bodies, Everbridge has established itself as a trusted partner in critical event management.
David Wagner, President and CEO of Everbridge, commented on the acquisition as a pivotal moment for the company, enabling further innovation and enhanced customer support amid a complex threat landscape. The company's Board of Directors, led by Chairman David Henshall, expressed that the transaction delivers immediate and certain value to shareholders, following a thorough review of strategic alternatives.
Thoma Bravo sees the acquisition as an opportunity to expand Everbridge's market presence in risk, compliance, and safety solutions. Partners at Thoma Bravo, Hudson (NYSE:HUD) Smith and Matt LoSardo, highlighted the potential for product innovation and profitable growth.
The transaction, approved by the Everbridge Board, is expected to close in the second quarter of 2024, subject to shareholder approval and regulatory clearances. It does not hinge on financing conditions. A 25-day "go-shop" period allows Everbridge to seek alternative proposals until February 29, 2024. However, there is no guarantee of a superior offer emerging.
Upon completion, Everbridge will operate as a private entity and its common stock will be delisted from public stock exchanges. The company will retain its name and brand post-acquisition.
Qatalyst Partners and Cooley LLP are advising Everbridge, while Kirkland & Ellis LLP is legal counsel to Thoma Bravo.
This move is based on a press release statement and is intended to provide shareholders and the market with key information regarding the acquisition.
InvestingPro Insights
As Everbridge, Inc. (NASDAQ:EVBG) enters a new chapter with its acquisition by Thoma Bravo, the market is evaluating the company's financials and future prospects with keen interest. According to InvestingPro data, Everbridge's market capitalization stands at approximately $977.03 million, with a notable revenue growth of 7.8% over the last twelve months as of Q3 2023. This growth is a testament to the company's strong suite of Software-as-a-Service (SaaS) products and its established market presence.
InvestingPro Tips highlight that Everbridge is expected to see net income growth this year, aligning with the company's trajectory towards profitability, which analysts predict could materialize within the year. This optimism is tempered by the reality that the company has not been profitable over the past twelve months and is trading at a high EBITDA valuation multiple. Additionally, the company's short-term obligations currently exceed its liquid assets, a financial nuance that potential investors should consider.
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