Duck Creek Technologies, which went public in 2020, plans to go private after announcing Monday that it would be acquired by Vista Equity Partners in a deal valued at $2.6 billion.
The deal, which is expected to close in Q2, allows Duck Creek’s board and its advisors to shop around for alternative proposals until the end of the day on February 7.
When the deal closes, shareholders will receive a payout of $19 per share, which is a 46 percent increase from the stock’s closing price of $12.99 on Friday, the last full day before Monday’s acquisition announcement.
Duck Creek, which was founded in 2000, provides cloud software solutions for insurance companies — specifically property and casualty, or P&C, businesses. The company’s clients include AIG, Liberty Mutual, Progressive and GEICO.
Duck Creek CEO Michael Jackowski said in a statement that the transaction is a testament to the value of the company’s platform and the strength of its team.
“Duck Creek is proud to have pioneered cloud-based mission-critical systems for the P&C insurance industry to deliver a best-in-class customer experience,” Jackowski said. “We are excited to enter the next chapter for Duck Creek in partnership with Vista Equity Partners to continue supporting P&C insurance carriers’ move to the cloud.”
