An investment group co-led by Advent International and Bemera Advisors has agreed to acquire McAfee for $14 billion in cash (including debt), and privatize the global cybersecurity company.
The group, which includes Cross Point Capital Partners, the Canada Pension Plan Investment Board, GIC Private Limited and a wholly owned subsidiary of the Abu Dhabi Investment Authority, will pay $26 in cash per share of McAfee common stock.
The purchase price represents a 22.6% premium over McAfee’s closing price on November 4, before Bloomberg reported on the potential transaction.
McAfee has about $4 billion in debt, according to Bloomberg data.
The transaction is expected to close in the first half of 2022, subject to customary closing conditions, including approval by McAfee shareholders, regulatory approvals, and approvals by the US Committee on Foreign Investment.
Under the transaction, the company’s board of directors and its advisors may solicit or consider alternative acquisition proposals within a 45-day period.
Goldman Sachs and Morgan Stanley act as financial advisor to McAfee, while Robbs & Gray and Moulton Moore Stella act as legal counsel.
The role of financial advisor to the investment group is JPMorgan Securities, Bank of America, Barclays Capital and Citigroup Global Markets. The Bryant Stable Group also acts as a strategic advisor to the investment group.