Rackspace to Become Private Company After $4.3B Transaction

Rackspace to Become Private Company After $4.3B Transaction

Rackspace, a leading cloud company, has announced an agreement on an acquisition transaction of $4.3 billion with affiliates of Apollo Funds, according to a Martech Advisor article.

As part of the agreement, a strategic equity investment will be made in Rackspace by the funds managed by Searchlight Capital Partners, LP. The entire transaction is valued at $4.3 billion inclusive of an assumption of net cash amount of $43 million. Once the transaction is complete, Rackspace will be a privately held company.

Apollo Global Management is an alternative investment management company and the deal will see each share of Rackspace acquired for $32.00 in cash.

Read the complete article here.