Menu
Compuware switches to private ownership

Compuware switches to private ownership

Thoma Bravo is purchasing the enterprise infrastructure software for $2.5 billion

Freeing itself from the fetters of public-investor expectations, IT infrastructure company, Compuware, is becoming privately held, with equity investment firm, Thoma Bravo, purchasing the company outright for approximately $US2.5 billion.

"Compuware is now best suited to focus on its core mainframe and [application performance management] businesses as a private-equity backed company, " said Bob Paul, Compuware CEO, in a statement, adding that the move will give the company more flexibility to manage its business with a long term vision.

Current shareholders of Compuware will get an aggregate value of approximately $US10.92 per share, a 17 per cent bump from the company's stock price at the close of trading on Friday.

Another IT infrastructure company that became privately-held after being publicly traded was BMC, who went through the process in 2013. BMC officials have said that being free from the quarterly expectations of shareholders allows the company to make longer-term investments in new technologies and markets.

The Compuware board of directors has unanimously approved the agreement, which is still subject to approval by Compuware's shareholders, as well as by regulatory bodies.

Founded in 1973, Compuware specializes in application performance management software, as well as software for managing mainframes. The company has about 7100 enterprise customers worldwide. For its fiscal year 2014, ended March 31, Compuware generated approximately $US720.8 million in revenue, down 0.4 per cent from the previous fiscal year. In September 2013, Compuware spun out Covisint, which now provides cloud management software, in an initial public offering.

Thoma Bravo had also invested in BMC before that company went private, and also owns stock in storage giant EMC. The firm manages about $US7.5 billion worth of investments.

Joab Jackson covers enterprise software and general technology breaking news for The IDG News Service. Follow Joab on Twitter at @Joab_Jackson. Joab's e-mail address is Joab_Jackson@idg.com


Follow Us

Join the newsletter!

Or

Sign up to gain exclusive access to email subscriptions, event invitations, competitions, giveaways, and much more.

Membership is free, and your security and privacy remain protected. View our privacy policy before signing up.

Error: Please check your email address.

Tags business issuesinvestmentsrestructuringCompuware

Featured

Slideshows

The Kiwi channel gathers for the 2020 Reseller News Women in ICT Awards

The Kiwi channel gathers for the 2020 Reseller News Women in ICT Awards

Hundreds of leaders from the New Zealand IT industry gathered at the Hilton in Auckland on 17 November to celebrate the finest female talent in the Kiwi channel and recognise the winners of the Reseller News Women in ICT Awards (WIICTA) 2020.

The Kiwi channel gathers for the 2020 Reseller News Women in ICT Awards
Leading female front runners honoured at the 2020 Reseller News Women in ICT Awards

Leading female front runners honoured at the 2020 Reseller News Women in ICT Awards

The leading female front runners of the New Zealand ICT industry joined together for the annual Reseller News Women in ICT Awards event at the Hilton in Auckland, during which hundreds of guests celebrated 13 outstanding individuals who won awards, chosen from more than 50 finalists representing over 30 organisations.

Leading female front runners honoured at the 2020 Reseller News Women in ICT Awards
Channel gathers to celebrate the Reseller News Innovation Awards 2020 winners

Channel gathers to celebrate the Reseller News Innovation Awards 2020 winners

More than 500 channel leaders gathered in Auckland on 21 October at the ​Reseller News Innovation Awards ​2020 to celebrate the achievements of the New Zealand technology industry's top partners, start-ups, vendors, distributors and individuals.

Channel gathers to celebrate the Reseller News Innovation Awards 2020 winners
Show Comments