ClearBridge asks Model N to reconsider $1.25 bln deal with Vista (updated)

Model N

15/04/2024 21:51

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       April 15 (Reuters) - Global equity manager ClearBridge
Investments said on Monday it has urged Model N's  MODN.N  board
to reconsider the proposed acquisition of the healthcare IT firm
by Vista Equity Partners.
    Model N last week agreed to be taken private by investment
firm Vista Equity for about $1.25 billion.
    "We believe the proposed acquisition materially undervalues
Model N's outlook as a public company or value to strategic or
financial buyers," ClearBridge said in its letter to Model N.
    ClearBridge, which had more than $188 billion in assets
under management as of March 31, 2024, owns 6.9% of the
outstanding stock of Model N, according to LSEG data.
    The equity manager said the board and the company's advisers
should remain open minded to potentially superior offers or
Model N shareholders should consider the potential long-term
value creation in staying a standalone public entity.
    

 (Reporting by Christy Santhosh in Bengaluru; Editing by Shilpi
Majumdar)
 ((Christy.Santhosh@thomsonreuters.com;))