LogMeIn, a provider of cloud-based connectivity, has entered into an agreement to be acquired in a transaction led by affiliates of Francisco Partners and Evergreen Coast Capital Corporation. LogMeIn shareholders will receive $86.05 in cash for each share of LogMeIn’s common stock they hold. The all-cash transaction values LogMeIn at an aggregate equity valuation of approximately $4.3 billion.
“This investment builds on the strength of our infrastructure and security software franchise and we are thrilled to partner with the company to achieve its long-term strategic vision,” said Dipanjan Deb, Co-Founder and CEO of Francisco Partners in a statement.
The transaction is expected to close in mid-2020 and is subject to customary closing conditions. The agreement includes a 45-day “go-shop” period that permits LogMeIn and its advisors to solicit alternative acquisition proposals, and potentially enter negotiations with other parties that make alternative proposals.
“This transaction acknowledges the significant value of LogMeIn and provides our stockholders with a meaningful and certain cash offer at a compelling premium,” said Bill Wagner, President and Chief Executive Officer of LogMeIn in a statement. “Together, Francisco Partners and Evergreen are committed to addressing the unique needs of both our core and growth assets.”