Thoma Bravo Completes Acquisition of Instructure and Appoints Interim CEO, J. Charles Goodman


IBL News | new York

Thoma Bravo private equity firm finally owns Instructure (NYSE: INST).

Today, the company announced that it has officially completed the acquisition in a cash transaction that valued Instructure at an aggregate equity value of approximately $ 2 billion.

As a result, Instructure’s ordinary shares have ceased their activities and the company is no longer listed on the New York Stock Exchange.

“I think our shareholders are happy with the result and I foresee great things to come in this new chapter for Instructure”, noted Josh coates, Executive Chairman of the Board of Directors of Instructure.

Salt Lake City-based Edtech, creator of Canvas LMS and Bridge, with 30 million users, has become a private company. All of the remaining common shares of Instructure have been converted into a right to receive cash.

The Chicago-based capital firm announced Monday, March 23, that it had purchased all of the outstanding shares of Instructure after a cash takeover bid, which expired last Friday.

Thoma Bravo made an offer of $ 49 per share in cash in mid-February, just before the stock market began to take a steep decline – with a 25% loss last month – due to the coronavirus pandemic.

“At expiration, 24,828,913 shares had been validly deposited and not withdrawn from the tender offer, representing approximately 64.4% of the total voting rights of the outstanding ordinary shares of Instructure”, the company said in a public statement.

The Global Covid-19 crisis, along with the collapse of the market and the rise of online businesses, ultimately ended weeks of deep rifts and disputes between shareholders and activist investors.

The big next step for Instructure after closing is to appoint a new CEO in place.

The company now has a Interim CEO, nominated by Thoma Bravo, sources told IBL News. His name is J. Charles Goodman, operating partner at Thoma Bravo and former CEO of Frontline Education, another Thoma Bravo company. [In the picture below]

Instructure does not anticipate large-scale layoffs as happened earlier this year.


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