Infoblox Inc. (BLOX)  

​Vista Equity to Acquire Infoblox for $1.6 Billion

Rebecca McClay | FlashRatings | Monday, September 19, 2016 1:51 PM EDT
Infoblox Inc. (BLOX) will be acquired by privately held Vista Equity Partners for $1.6 billion in a deal expected to close in Infoblox’s second quarter, the tech firm announced Monday. Analysts had not yet reacted directly to the news.

That purchase price represents a 33% premium over Infoblox’s 60-day average. Under the terms of the deal, Infoblox shareholders will receive $26.50 per share of common stock in cash.

“This transaction will provide immediate and substantial value to Infoblox stockholders, while also giving Infoblox greater flexibility to execute on our long-term strategy to drive increased DDI automation and DNS security into the enterprise market,” Infoblox CEO Jesper Anderson said in a Sept. 19 statement. Infoblox said it will keep its current executive team and Santa Clara headquarters.

The Santa Clara, Calif.-based technology company has been a rumored acquisition target for acquisition for several months now.

In the past 30 days, three analysts had reported on Infoblox with a median price target of $23. Among them, Needham & Co. had maintained a “hold” rating on Sept. 1, noting the company reported better-than-expected, fourth-quarter results while providing first-quarter guidance above analysts’ estimates.

Infoblox indeed reported fourth-quarter revenue of $86.3 million and earnings of $0.08 per share on Aug. 31 for the quarter ended April 30, both of which beat analysts projections.
In other recent analyst ratings on Infoblox, Cowen maintained an “outperform” rating on August 30. D.A. Davidson had maintained an “underperform” rating on Infoblox, but that was on the basis that a buy-out would not materialize.