Shares of RealPage Inc. (RP), a provider of real estate applications and data processing resources, rose 26.66% over the past month. The major force behind the surge was the news that Thoma Bravo, a major private investment company, planned to acquire the RealPage, which resulted in an increase of 28.75% to end the trading at $87.33 on December 21.
For each share of RP, Thoma Bravo offered $88.75 in cash. Compared to the trading price on previous day, that was a premium of around 31 percent. For Thoma Bravo, considering the fact that the firm has investments under portfolio with a cumulative valuation of $73 billion, this is the biggest acquisition. Yet it’s possible that private investors have valued RealPage’s opportunities.
RealPage is currently actively working in the area of cloud IT services and has increasingly rising revenues. RealPage increased its outlook for income per share for the current year in November. The business surpassed the expectations of Wall Street for revenues before that.
RealPage will maintain management since taking over Thoma Bravo’s ownership and continue to run as before. Often, Thoma Bravo makes only small changes to the acquisition business, concentrating instead of reducing costs on expansion.
The selling of RealPage reveals the investment promise of emerging technology in the cloud. In order to increase the productivity of revenues, labor and loan management in the real estate market, RealPage has its own website with elements of AI Revenue Management artificial intelligence. The supply of analytical tools for the real estate industry is the core activity of RealPage.
RealPage, Inc. (RP) was stable with a bit up +0.16% on Thursday to conclude trading at $87.24. The company has added roughly 60% to its value during last year and currently has market capitalization of $8.88 billion.