TheThoma Bravo Advantage (TBA) stock gaining some momentum on Monday’s pre-market. As of this writing, it has gained 5.08% after the announcement of the important merger with Ironsource
What’s the BUZZ
Thoma Bravo Advantage said on Sunday, March 21, 2021, that it has reached an agreement to acquire Israeli mobile monetization company ironSource through a merger and going public. The total value of the merger will be approximately $11.1 billion.
After the merger,ironSource is expected to have $740 million of cash and ironSource shareholders will receive $10 billion, including $1.5 billion of cash and a majority of shares in the combined company
$1.3 billion of new investment will be provided by the group of blue-chip asset managers that include Tiger Global Management, Wellington Management and Seth Klarman’s Baupost Group.
What’s the importance of the merger?
IronSource is a software company that has built a strong reputation for buying cloud software companies, keeping existing management in place. The company 2020 adjusted EBITDA was $104 million and revenue was $332 million
Thoma Bravo struck the first (SPAC) deal, which has around $73 billion in assets under management and focuses on investing in software and technology.IronSource will get up to $2.3 billion in cash proceeds, which will be provided by Thoma Bravo Advantage(SPAC).
About the company
Thoma Bravo is a leading private equity firm founded in 2020 in the United States. The firm has approximately $77 billion in assets under management as of December 31, 2020. The company is focused to buy and invest in IT, software, and technology companies. Till now the firm has acquired more than 300 software and technology companies representing over $85 billion of value.