Magnet Forensics Inc. shareholders have voted in favour ofU.S. private equity firm Thoma Bravo's $1.8-billion takeover of the cybersecurity company.
The Waterloo, Ont.-based technology company announced the approval during a shareholders' meeting today, but said it would share how many votes were cast in favour and against the deal later.
In the lead up to the vote, major shareholder Nellore Capital Management LLC criticized the deal's terms as inadequate, whileGlass Lewis & Co. recommended against the takeover, saying the proposed premium is "marginal" at best.
However, Institutional Shareholder Services Inc. encouraged shareholders to vote for the deal, saying the valuation appears "reasonable" and that there are downside risks if the deal isn't approved.
The takeover deal was announced on Jan. 20 and willsee shareholders and their affiliates receive $44.25 in cash per share, while rolling shareholders will nab $39 per share.
When announced, the deal amounted to a 15 per cent premium on the closing share price a day earlier and a 41 per cent premium on its 90-day average.
This report by The Canadian Press was first published March 23, 2023.
Companies in this story: (TSX:MAGT)
The Canadian Press