Mediware to go private in deal near $195 million
NEW YORK (AP) — Shares of Mediware Information Systems shot up 39 percent in premarket trading on Wednesday after the health care software company reached a deal to be taken private by Thoma Bravo LLC for close to $195 million.
Mediware shareholders will receive $22 for each share they own, which is a 40 percent premium to the company's Tuesday closing price of $15.75.
The Lenexa, Kansas-based company had approximately 8.8 million outstanding shares as of Aug. 29, according to regulatory filings.
The deal, which was unanimously approved by Mediware's board, still needs the approval of shareholders and regulators.
For the year ended June 30, Mediware earned $7.5 million, or 90 cents per share, up 20 percent from the prior year. Revenue rose 16 percent to $64.6 million.
The buyout, which is expected to close before year's end, is not subject to a financing condition.
Mediware Information Systems Inc.'s stock surged $6.19, or 39.3 percent, to $21.94 before the market open. Shares have traded between $10.76 and $16 in the past 52 weeks, and ended Tuesday up about 23 percent since the start of the year.