Bankrate has entered into an agreement to be acquired and taken private by Apax Partners. As per the terms of the agreement, Apax will commence a tender offer to acquire all of the outstanding common stock of Bankrate, for $28.50 per share in cash, followed by a merger to acquire all remaining outstanding Bankrate shares at the same price.
The transaction is valued at approximately $571 million. Apax is providing 100% of the financing for the acquisition from its equity funds under management. Shareholders, representing approximately 24% of Bankrate’s outstanding shares, have signed support agreements with Apax in connection with the transaction.
Thomas Evans, president and CEO of Bankrate, commented: Apax’s offer represents attractive value to our shareholders, while also giving us significantly enhanced flexibility to execute on our long-term strategy in a difficult economic climate. Apax Partners has a proven track record of investing in successful, growing companies, and we are excited about this partnership.
Mitch Truwit, a partner at Apax Partners, said: We are very attracted to Bankrate’s position as a leading online consumer finance website and we are delighted to have the opportunity to work with Bankrate’s management team in a private setting to expand their platform. Furthermore, we are delighted to be investing in a company that straddles two of our core investment sectors, media and financial services.
Bankrate’s financial advisor is Allen & Company. Apax’s financial advisor is Stephens Inc.
New York-based Apax Partners, a global private equity firm with over $35 billion in funds under advice, invests in Tech & Telecom, Retail & Consumer, Media, Healthcare and Financial sectors globally.
Florida-based Bankrate, a financial information publisher, provides information to consumers on mortgages, credit cards, new and used automobile loans, money market accounts, certificates of deposit, checking and ATM fees, home equity loans and online banking fees.
