GTCR and Elliott are in advanced talks to buy CCC, Bloomberg reports
No price has been disclosed, and Reuters said CCC shares rose about 11% in extended trading on Friday, October 9.
Key takeaways
Private equity firm GTCR and activist investor Elliott Investment Management are in advanced talks to buy CCC Intelligent Solutions Holdings Inc., Bloomberg reported on Friday, citing unnamed people familiar with the matter, Reuters said.
On July 10, Bloomberg reported that Elliott had built a large stake in CCC, a day after Reuters reported that the company was exploring a sale. Friday's report names that shareholder as a buyer.
GTCR is based in Chicago, and so is CCC.
CCC is listed on Nasdaq in the United States, and it sells software that auto insurers and repair shops use to handle claims.
CCC closed at $7.02, up 6.8% in the regular session. Reuters said the shares were about 11% higher than that close in extended trading, the buying and selling after the official session.
A deal could be announced as soon as the week of October 12, Bloomberg said. No agreement has been reached, and the timing could still change. Bloomberg disclosed no price.
Elliott declined to comment, Bloomberg reported. CCC and GTCR did not immediately respond to Bloomberg's requests for comment.
At Friday's close, CCC's market value was $4.13 billion. The share price was down 25% over the past year.
Three months of sale talks
On July 9, Reuters reported that CCC was exploring a sale, had hired Morgan Stanley, and had approached possible buyers, including private equity firms.
On August 18, Bloomberg reported that Copart, an online vehicle-auction company, was one of the companies in talks to buy CCC.
In its July 30 quarterly filing, CCC said revenue was $285.9 million for the quarter ended June 30, up 9.8% from a year earlier, with software subscriptions at 96% of revenue. The company was still growing at that last report.
Frequently asked questions
What does CCC sell?
CCC sells software that auto insurers and repair shops use to handle claims.
Has a deal been reached?
No agreement has been reached, and the timing could still change.
When could a deal be announced?
A deal could be announced as soon as the week of October 12, Bloomberg said.
How large is CCC?
At Friday's close, CCC's market value was $4.13 billion.
