Analytics cloud platform Alteryx to be acquired by Clearlake Capital and Insight Partners in $4.4bn deal
Alteryx, Inc. (NYSE: AYX), a renowned analytics cloud platform company, has taken a significant leap forward by entering into a definitive agreement to be acquired by global private equity firms Clearlake Capital Group, L.P. and Insight Partners. This landmark transaction, valued at $4.4 billion including debt, marks a pivotal moment in the tech industry, with Alteryx set to transition into a privately held entity upon completion.
Substantial Premium for Alteryx Stockholders
Alteryx stockholders are poised to receive $48.25 per share in cash, a substantial 59% premium over the company’s unaffected closing stock price on September 5, 2023. This deal not only benefits stockholders with a significant cash value but also propels Alteryx into an enhanced operational phase with increased working capital and industry expertise.
Strategic Growth and Industry Expertise through Acquisition
Mark Anderson, CEO of Alteryx, lauds the agreement, emphasizing the opportunities it brings for customer-focused investments and a strengthened mission to democratize data analytics. Under the guidance of Clearlake and Insight, Alteryx is poised to accelerate its journey in cloud and AI innovation.
Major Acquisition in Tech: Alteryx to Go Private in a Multi-Billion Dollar Transaction
Dean Stoecker, Co-Founder and Executive Chairman of Alteryx, reflects on the company’s journey since its inception in 1997, highlighting the acquisition as a testament to Alteryx’s strength and innovation in the data science and analytics sector.
Clearlake and Insight’s Vision for Alteryx’s Future
Clearlake’s Co-Founder and Managing Partner Behdad Eghbali, alongside Partner Prashant Mehrotra, foresee a bright future for Alteryx’s AI products and cloud solutions. Insight Partners, having nurtured a long-standing relationship with Alteryx, shares a similar vision of advancing the company’s growth in cloud and AI/ML technologies.
Transaction Details and Closing Expectations
The transaction has received approval from an independent Special Committee of Alteryx’s Board of Directors and is anticipated to close in the first half of 2024. It hinges on standard closing conditions, Alteryx stockholder approval, and required regulatory approvals. Notably, Dean Stoecker’s support, representing a significant portion of Alteryx’s voting power, further solidifies the deal’s progression.
Advisory and Legal Support for the Transaction
Qatalyst Partners acts as the exclusive financial advisor to Alteryx, with legal guidance from Wilson Sonsini Goodrich & Rosati, Professional Corporation, and Fenwick & West LLP. Clearlake and Insight have engaged a suite of financial advisors and legal experts, including Houlihan Lokey, Inc., Goldman Sachs & Co. LLC, J.P. Morgan Securities LLC, and Morgan Stanley & Co. LLC, with legal advice from Sidley Austin LLP and Willkie Farr & Gallagher LLP.
Conclusion:
The acquisition of Alteryx by Clearlake Capital and Insight Partners is a game-changer in the analytics and tech industry. This strategic move not only offers significant financial benefits to Alteryx stockholders but also sets the stage for the analytics cloud platform company to expand its footprint in the burgeoning field of AI and cloud-based data analytics.