SolarWinds acquired by Turn/River Capital for USD $4.4 billion

SolarWinds has been acquired by Turn/River Capital in a transaction valued at USD $4.4 billion, resulting in the company becoming privately held and delisting from the New York Stock Exchange.

Under the terms of the agreement, SolarWinds shareholders will receive USD $18.50 per share in cash as part of the closing of the acquisition. The transaction sees Turn/River Capital take full ownership of SolarWinds, which will no longer have its common stock publicly traded.

SolarWinds, which provides software for observability and IT management, stated that the change in ownership would support its focus on delivering products for managing hybrid and multi-cloud environments.

Sudhakar Ramakrishna, President and Chief Executive Officer of SolarWinds, commented, "With Turn/River as our new owner, we remain committed to continuing our tradition of helping customers transform their businesses through simple, powerful, and secure solutions for hybrid and multi-cloud environments. We are excited to provide operational resilience on our SolarWinds Platform by utilising our observability, monitoring, and service desk solutions."

Ramakrishna further noted the significance of the transaction for both employees and stakeholders, stating, "This successful transaction and partnership highlight our employees' exceptional work in building solutions and delivering customer success. We believe Turn/River's expertise will help SolarWinds drive innovation and deliver greater value to customers and stakeholders."

Matthew Amico, Partner at Turn/River Capital, explained the firm's rationale for the acquisition by saying, "With the recent launch of next-generation solutions that integrate observability, incident response, service management, and AI-powered automation, SolarWinds is redefining what it means to achieve operational resilience in complex hybrid IT environments. We are excited to partner with SolarWinds to build on this momentum, investing further in product innovation and empowering organisations worldwide to thrive in an era of rapid technological change."

The acquisition followed financial advisement from Goldman Sachs and Jefferies for SolarWinds, while Turn/River Capital's advisors included J.P. Morgan, Barclays, Santander, and RBC Capital Markets. Legal counsel for SolarWinds was provided by DLA Piper LLP (US); for Turn/River, Kirkland & Ellis LLP served as legal advisors.

SolarWinds has indicated that it will continue engaging with IT professionals, DevOps and SecOps personnel, and database administrators to respond to evolving demands in hybrid IT management. The company said its platform provides a unified view of modern, distributed networks, supporting high performance and availability for customers managing increasingly complex IT environments.