Cornerstone OnDemand Inc. (CSOD) was up 14.60% in after hours trading yesterday, trading at $57.21 at the last check. CSOD stock rose 1.03% to close at $49.92 on Thursday. The volume of CSOD stock traded on the day was 0.35 million, which was less than the average volume over the last three months of 374.96K. CSOD stock fluctuated between $49.26 and $50.38 during the trading session. CSOD had a -0.60 earnings per share ratio.
CSOD stock has gained 3.83% in the past five sessions and -3.80% over the past month but has gained 13.35% on a year-to-date basis. CSOD’s 50-day moving average of $49.79 is above its 200-day moving average of $45.71. Furthermore, CSOD stock is currently trading at a RSI of 54.21. After entering into a definitive acquisition agreement, CSOD stock surged.
With whom did CSOD Stock sign an agreement?
With Cornerstone’s HR software and solutions, the future-ready workplace is enhanced by bringing together people, teams, technology, and business to foster greater success, growth, and agility in the workplace. CSOD is a skills-based platform that integrates AI into the learning and development experience, delivers the most relevant content from anywhere, enables talent and career mobility, and establishes skills as the universal language of business growth and success.
A definitive agreement has been entered into between Cornerstone and Clearlake Capital Group, L.P. (along with some affiliates), a leading private equity fund, announced CSOD in a yesterday statement.
- In accordance with the agreement, Clearlake will purchase the outstanding common stock of CSOD for $57.50 per share.
- For CSOD, the transaction represents an enterprise value of approximately $5.2 billion.
- For CSOD, a purchase price of $57.50 per share represents an increase of approximately 31% over the company’s unaffected closing stock price on June 1, 2021.
- It was the last full trading day before Clearlake filed a Schedule 13D in connection with the strategic review process and a 40% premium to the Company’s unaffected LTM VWAP.
- With the completion of this transaction, CSOD will be a privately held company with the flexibility and resources to provide software-as-a-service (“SaaS”) solutions that are market-leading.
- CSOD will also benefit from Clearlake’s strong track record with software platform investments, operational capabilities, and capital support.
- CSOD’s Board of Directors unanimously approved the transaction, which is not subject to financing conditions.
- A group of stockholders, including Clearlake, representing 15.65% of the Company’s shares on hand, has agreed to vote in favor of the deal.
Once the transaction is complete:
Under customary closing conditions, including regulatory approval and approval by a majority of Cornerstone stockholders, Cornerstone (CSOD) expects the transaction to close in the second half of 2021. As a result of the merger, Cornerstone will be a privately held company and the shares of CSOD common stock will no longer trade publicly.
