Cybersecurity company Darktrace (DARK) is in talks over a possible takeover offer from Thoma Bravo, the private equity firm that has been busy consolidating the wider space in 2022.

Earlier in August, Thoma Bravo struck a deal to buy US-listed Ping Identity for $2.4 billion, its 27th cybersecurity business. It also owns former UK FTSE 250 firm Sophos, plus names like McAfee, Proofpoint and Barracuda.

After a string of upbeat trading updates and growth guidance hikes, Shares told readers to buy the stock at 375.13p on 21 April 2022. That the stock has jumped almost 25% since Thoma Bravo’s interest became known, suggests that the market sees any deal being struck at a significant premium to recent 400p levels.

A stock market exit could suit all parties if the price is right.

Investors might conclude that going into private ownership is the best way to avoid the uncertainty of this year’s market gyrations, with the potential to float the company once again in the coming years once market confidence is restored.

Darktrace shares have seen wild swings since listing in London at 250p in April 2021. In October 2021, the stock hit a record 945p, before plunging. In July the shares were trading at 292.6p.

Thoma Bravo has until 12 September to either make a firm offer or walk away.

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