The all-cash deal will value RealPage at more than $10 billion. The real estate analytics company will continue operating with the same leadership team.
Real estate analytics and software company RealPage announced Monday that it has agreed to be acquired by private equity firm Thoma Bravo.
RealPage is a publicly traded company, and the deal will involve paying stockholders $88.75 in cash per share. That’s more than 30 percent higher than the $67.83 per share that RealPage’s stock commanded on Friday.
Following Monday’s announcement, the price of RealPage shares shot up to more than $89.
RealPage provides a variety of real estate software tools, including a multifamily management platform that can handle things like rent payments, utilities, and renters insurance. In a statement Monday, the company said it “enables real estate owners and managers to change how people experience and use rental space.” The firm also provides market analysis products.
The statement adds that RealPage serves more than 19 million units worldwide. It also provides full property management services to about 12,200 clients globally.
Texas-based RealPage was founded in 1998, and has been on something of an acquisition spree of its own of late. In September, the firm revealed that it bought Stratis IoT, which integrates smart devices into multifamily apartments. And in late 2018, RealPage acquired Buildium, which manages millions of rental units across the world.
At the time, Buildium was one of at least seven acquisitions RealPage had made since 2017.
Though RealPage itself is now being acquired, Monday’s statement indicates the firm will continue operating with president and CEO Steve Winn, along with other members of the leadership team, at the helm. In the statement, Winn said he was proud to work with Thoma Bravo, “a firm with tremendous software investment and operational capabilities.”
“This will enhance our ability to focus on executing our long-term strategy and delivering even better products and services to our clients and partners,” Winn added.
The new deal ultimately values RealPage at $10.2 billion, including debt, the statement adds.
Thoma Bravo is a private equity firm that focuses on technology-enabled services sectors, according to the statement. The firm had more than $73 billion in assets under management as of September.
Orlando Bravo, Thoma Bravo’s founder and managing partner, said in the statement that RealPage has an “industry leading platform” as well as “tremendous potential going forward.”
“Together,” Bravo continued, “RealPage and Thoma Bravo can partner to grow the company’s market offerings and enhance its current capabilities to capitalize on the increasingly complex and expanding real estate market.”