EQT strikes a deal for post-Covid tech hangover

Perficient

09/05/2024 14:43

(The author is a Reuters Breakingviews columnist.  The opinions
expressed are his own.)
    By Pranav Kiran
       TORONTO, May 9  (Reuters Breakingviews) - Despite a 75%
premium, the buyout shop’s take-private of IT consultancy
Perficient values it on par with peers thanks to a sagging share
price. The collapse of giddy Covid-era tech valuations and deals
has lingered enough for some buyers to swoop back in without
overstretching.    
    Full view will be published shortly.
    Follow @PranavKiranBV on X

    CONTEXT NEWS 
    Swedish private equity firm EQT will acquire Perficient in
an all-cash deal valued at about $3 billion that will take the
U.S.-based digital consultancy firm private, the companies said
on May 5.
    EQT will pay $76 for each Perficient share, representing a
nearly 75% premium to Perficient's close price on April 29, the
last unaffected trading day prior to the announcement.

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Graphic: Tech M&A multiples have corrected sharply    https://reut.rs/4buFKim
Graphic: Perficient shares are down sharply from pandemic highs 
  https://reut.rs/3QxfdIY
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 (Editing by Jonathan Guilford and Sharon Lam)
 ((For previous columns by the author, Reuters customers can
click on  KIRAN/ 
pranavkiran.t@thomsonreuters.com; Reuters Messaging:
pranavkiran.t@thomsonreuters.com@reuters.net))