Guidewire to acquire Cyence for about $275M
Guidewire Software announced that the companies have entered into a definitive agreement for Guidewire to acquire Cyence. Cyence is a software company that applies data science and risk analytics to enable P&C insurers to grow by underwriting "21st century risks" that have gone underinsured or uninsured. Total consideration for the acquisition is approximately $275M, or $265M net of $10M cash on hand, subject to customary transaction adjustments. Consideration provided at closing will consist of net cash of approximately $140M and approximately 1.6M shares of newly issued Guidewire common stock. Of those shares, approximately 260,000 are in the form of deferred equity consideration, which are subject to the achievement of certain retention and operating milestones. The transaction is expected to close early in Guidewire's second fiscal quarter.