Zendesk to go private in $10.2B sale to investor group

An investor group led by private equity firms Permira Advisers LLC and Hellman & Friedman LLC agreed to acquire Zendesk Inc. in an all-cash deal valuing the software company at about $10.2 billion.

Hellman & Friedman and Permira will fund the transaction through debt and equity financing, according to a June 24 announcement. A wholly owned unit of the Abu Dhabi Investment Authority and GIC are part of the investor group.

Zendesk shareholders will receive $77.50 per share under the agreement, which will see Zendesk become a privately held company upon completion.

Zendesk's board unanimously approved the transaction, which is expected to close in the fourth quarter, subject to customary closing conditions, including approval from Zendesk's shareholders.

Qatalyst Partners and Goldman Sachs & Co. LLC are Zendesk's financial advisers for the deal, while Wachtell Lipton Rosen & Katz is the company's legal adviser.

Morgan Stanley & Co. LLC is the financial adviser to the investor group. Fried Frank Harris Shriver & Jacobson LLP and Simpson Thacher & Bartlett LLP are serving as M&A counsel and financing counsel to the investor group, respectively.