Duck Creek Technologies (NASDAQ:DCT) moved upward on word the company has reached a takeover deal with Vista Equity PartnersTerms of the deal call for Vista to pay $19 per share in cash, or about $2.6 billion. Shares of Duck Creek surged more than 38% to about $18 per share on the news before trading was halted.
The deal is at a 68% premium to Friday’s close of $11.28.
Duck Creek, a provider of intelligence solutions for the insurance industry, saw its stock price fall about 60% in 2022. That price spread its wings $6.11, or 47%, to $19.10.
Duck Creek will be part of a wider portfolio of technology companies at Vista.
“This transaction is a testament to the value of the Duck Creek platform, the success of our strategy and the strength of our incredible team. Following a deliberate and thoughtful process, the Board approved this transaction which delivers a great outcome for Duck Creek’s shareholders, providing them a certain and substantial cash value at an attractive premium,” said CEO Michael Jackowski.
“Duck Creek is proud to have pioneered cloud-based mission-critical systems for the P&C insurance industry to deliver a best-in-class customer experience. We are excited to enter the next chapter for Duck Creek in partnership with Vista Equity Partners to continue supporting P&C insurance carriers’ move to the cloud.”
Duck Creek is a provider of core systems to the property and casualty (P&C) insurance industry through its cloud offering, Duck Creek OnDemand, which is delivered as software-as-a-service (SaaS). The Company’s product portfolio is built on its technology foundation, the Duck Creek Platform.