Dayforce Stock Gains Amid $70 Buyout Talks With Thoma Bravo, Retail Investors Voice Concerns Over Valuation

Dayforce said Thoma Bravo is discussing buying the firm for $70 per share, with the company adding that there can be no assurances as to whether an agreement for a transaction will be reached.

Dayforce (DAY) shares gained over 3% on Wednesday, after the morning bell, as the company said it was engaged in advanced discussions with private equity firm Thoma Bravo regarding a buyout for $11.18 billion.

Thoma Bravo is discussing buying Dayforce for $70 per share, with the company adding that there can be no assurances as to whether an agreement for a transaction will be reached or as to the price or terms of any such deal.

Retail sentiment on Dayforce remained unchanged in the ‘extremely bullish’ territory, with message volumes at ‘extremely high’ levels, according to Stocktwits data.

Dayforce said that it does not intend to make additional comments or provide an update on this matter unless and until the company determines that disclosure is required or otherwise appropriate. The company is a human capital management firm that offers business software designed for payroll processing and streamlining recruitment, among other employment services.

The firm offers its services to several companies, including Danone, Spirit Aerosystems and Costa Coffee.

Bloomberg News first reported on the deal talks on August 17. The stock price premium for Dayforce was 32.4% as of the company’s August 15 closing price of $52.88.

A bullish user on Stocktwits said that the offer price was “slightly lower,” and it would be noteworthy to see if someone else comes in with a higher bid.

Shares of Dayforce were down nearly 10% so far this year but have jumped 20% in the last 12 months.  

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