Private equity firm Thoma Bravo is purchasing Canadian cybersecurity company Magnet Forensics (MAGT) for $1.8 billion.
Waterloo, Ontario-based Magnet Forensics makes digital investigation software. It will merge with Grayshift, a company that Thoma Bravo acquired last year, according to a statement from the companies.
Magnet Forensics’ stock rose 14% to $43.65 on the Toronto Stock Exchange immediately following news of the acquisition.
Shareholders of Magnet Forensics will receive $44.25 for their shares from Thoma Bravo.
Magnet Forensics provides cybersecurity software and related products to the military, law enforcement, and businesses. The company was founded in 2010 by Jed Saliba, a former police officer.
Based in Chicago, Illinois, Thoma Bravo is a private equity firm focused on the software sector. Magnet Forensics is its first take-private deal in Canada.
Magnet Forensics’ stock has gained 72% in the last 12 months, including its gain following news of the Thoma Bravo purchase. The shares finished trading on January 20 at $43.66.
