A lot of people are overlooking this — due to the small size of the company. But I think it’s notable that Thomas Bravo felt it was okay to throw some money out there for a premium deal, just above of $6b to acquire fast growing SAAS co SAIL.
Thoma Bravo will pay $65.25 for each Sailpoint share outstanding, which represents a 31.6% premium to Friday’s closing price of $49.59. The deal includes a “go-shop” period, until 11:59 p.m. Eastern on May 16, in which SailPoint can actively solicit and consider alternative buyout deals.
On this news, we are seeing both SAAS and security stocks move higher, bucking the overall market trend and confusing the fuck out of the algos. On one hand, this is a very risk off day with the NASDAQ -240. On the other, we have 46% breadth and many tech stocks are up.
This is a pot luck type of day and if you’re up, congrats.
Other tech stocks pinned at highs include:
PING, MU, WDAY, TWTR, SPLK, AKAM, Z (EXTRA RUSSIA), PLAN, FIVN, SMAR, GWRE, DBX, RPD, QLYS, FRSH, BL, SPT, CERT, AMPL, XM.
The big question is — do we chase strong tech here, buy the commodity dip — or just short the whole fucking kit and caboodle?
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