Shareholders receive $99 in cash per share, says Ellie Mae
Thoma Bravo, a private equity investment firm, has announced closing its acquisition of cloud-based mortgage platform provider Ellie Mae. The deal was first announced in February.
The firm acquired Ellie Mae in an all-cash transaction that values Ellie Mae at roughly $3.7 billion in aggregate equity value.
Ellie Mae shareholders get $99 in cash per share under the terms of the agreement. According to the company, the price per share served as a 47% premium to Ellie Mae’s 30-day average closing share price and a 49% premium to its 60-day average closing price as of Feb. 1.
Ellie Mae stockholders voted their shares in favor of the transaction on April 15. The acquisition removed Ellie Mae from the New York Stock Exchange list and stopped its common stock from trading.
“The closing of this transaction represents the beginning of the next chapter in our digital mortgage journey as we work toward our North Star of automating everything automatable for the residential mortgage industry,” said Ellie Mae President and CEO Jonathan Corr. “Thoma Bravo brings deep expertise and together we are committed to supporting our lenders’ success, fostering innovation and growth of the Encompass Digital Lending Platform and accelerating our value for our ecosystem of customers, partners, and employees.”
“Thoma Bravo has long been impressed with Ellie Mae’s unique position as the leader in mortgage technology solutions,” said Holden Spaht, managing partner at Thoma Bravo. “The company’s exceptional products and deep commitment to automate the mortgage process allows it to maintain its prominent position in an industry undergoing an extensive digital transformation. Our partnership can allow Ellie Mae to accelerate its momentum as it innovates on behalf of lenders and homebuyers with the ultimate goal of helping people achieve the American dream of homeownership.”
