Mortgage finance software house Ellie Mae is to be acquired by private equity firm Thoma Bravo for $3.7 billion.
Operating on a software as a service model, the company’s platform streamlines and automates the process of originating and funding new mortgage loans and facilitating regulatory compliance.
“Since the founding of Ellie Mae more than 20 years ago, our mission has been simple – to automate everything automatable for the residential mortgage industry,” says Jonathan Corr, president and CEO of Ellie Mae. “As we enter this next phase of our digital mortgage journey, we are thrilled to provide immediate value to our shareholders. With the investment and support from Thoma Bravo, we will remain committed to our customers’ success, innovation and growth of the Encompass Digital Lending Platform.”
Under the terms of the deal, all Ellie Mae shareholders will receive $99.00 in cash per share, a 47% premium to the 30-day average closing share price.
The agreement include a 35 day ‘go-shop’ period, which permits Ellie Mae to scout for better offers.
Editorial | what does this mean?
This content has been selected, created and edited by the Finextra editorial team based upon its relevance and interest to our community.