Published on 12 Apr 2022 on MarketWatch

Datto's stock jumps into record territory after $6.2 billion cash deal to be bought by Kaseya

Shares of Datto Holding Corp. shot up 20.2% into record territory in premarket trading Monday, provider of security for managed service providers (MSPs) announced an agreement to be acquired by security software provider Kaseya in a cash deal valued at $6.2 billion. Under terms of the deal, Kaseya will pay $35.50 for each Datto share, which represents a 23.6% premium to Friday's closing price of $28.72, and implies a market capitalization of about $5.82 billion. The deal is expected to close in the second half of 2022. "Combining with Kaseya brings together a broader array of technology products to create additional opportunities for MSPs," said Datto Chief Executive Tim Weller. Datto's stock started trading on Oct. 21, 2020, and closed at a record $32.72 on Nov. 13, 2020. It has gained 9.0% year to date through Friday, while the S&P 500 has slipped 4.8%.