Thoma Bravo Strikes $1.3B Deal for Magnet Forensics - GovCon Wire

Thoma Bravo has agreed to acquire integer probe bundle developer Magnet Forensics done Morpheus Purchaser, a recently established corp controlled by the backstage equity firm, for astir $1.3 billion.

Thoma Bravo said Friday it expects the acquisition to adjacent successful the 2nd 4th of 2023, pending approvals by shareholders and regulators and different customary closing conditions.

Upon the deal’s closing, Magnet volition beryllium combined with mobile instrumentality integer forensics supplier Grayshift, which became a portfolio institution of Thoma Bravo successful July 2022, to signifier a caller backstage entity focused connected providing end-to-end integer investigations platforms to nationalist information agencies.

“We look guardant to bringing unneurotic the complementary capabilities of Magnet and Grayshift to make a person successful the integer forensics and cyber information space,” said Hudson Smith, a spouse astatine Thoma Bravo. 

“Digital grounds is an progressively captious facet of investigations and the combined institution volition beryllium well-positioned to further marketplace expansion, accelerate innovation, and supply adjacent greater solutions to its customers,” added Smith.

Magnet was founded by Adam Belsher and Jad Saliba successful 2010 and develops integer probe platforms that get and analyse grounds from mobile devices, computers, cloud, net of things-based devices and different integer sources to assistance nationalist and backstage assemblage clients safeguard assets and nationalist information and antagonistic crimes.

Belsher and Saliba and Grayshift Founders David Miles and Braden Thomas volition presume enactment roles successful the combined company. Magnet Chair Jim Balsillie volition service connected the caller entity’s board.

Magnet’s committee unanimously approved the projected deal. The company’s shareholders volition clasp a peculiar gathering successful March to see the transaction.

Under the transaction’s terms, holders of outstanding subordinate voting shares volition get astir $33 currency per stock and the rolling shareholders volition person $29 for each outstanding SV stock and aggregate voting share.

Blake, Cassels & Graydon is serving arsenic Magnet’s ineligible advisor successful the transaction. Kirkland & Ellis is acting arsenic Thoma Bravo’s ineligible counsel, portion McMillan is serving arsenic the backstage equity firm’s Canadian ineligible adviser.

A peculiar committee appointed by Magnet’s committee tapped Morgan Stanley and CIBC Capital Markets to service arsenic its fiscal advisor and autarkic valuator, respectively, successful the deal.