Siris-Led Group To Buy Digital River For $840 Mln - Quick Facts

(RTTNews) - Digital River Inc (DRIV), a provider of commerce-as-a-service solutions, Thursday agreed to be acquired by an investor group led by Siris Capital Group LLC in a deal valued at about $840 million.

As per the terms of the deal, Siris will acquire all of the outstanding common shares of Digital River for $26.00 per share in cash, representing a premium of about 50 percent over the closing price on October 23.

The deal was approved by Digital River's board, which recommended that Digital River stockholders adopt the agreement.

Digital River may solicit alternative acquisition proposals from third parties during a 45-day "go-shop" period, following the date of execution of the merger agreement. There is no guarantee that this process will result in a superior proposal.

A special meeting of Digital River's stockholders will be held as soon as practicable following the filing of a definitive proxy statement with the U.S. Securities and Exchange Commission and subsequent mailing to stockholders.

Meanwhile Siris has secured committed financing consisting of a combination of equity and debt. The equity financing will be provided by an investor group led by Siris and the debt part will be provided by Macquarie Capital and Sankaty Advisors.

Upon closure of the deal, Digital River will become wholly owned by an affiliate of Siris. The deal is expected to close in the first quarter of 2015.