Computer Services Inc., a fintech and regtech company, is poised to go private after agreeing to a buyout by investment firms Centerbridge Partners and Bridgeport Partners for approximately $1.6 billion.
The all-cash deal is anticipated to close in the fourth quarter, following unanimous approval from CSI’s board of directors. The purchase price of $58 per share reflects a 53% premium over CSI’s closing price on August 19.
Founded in 1965 and based in Kentucky, CSI employs over 1,200 individuals. Following the announcement, shares in the company surged by about 50%.
CSI offers a range of services including core processing, digital banking, managed cybersecurity, cybersecurity compliance, payment processing, print and electronic document distribution, and regulatory compliance technology to nearly 2,600 financial institutions and corporate clients.
John Williams, the founder and Chairman Emeritus, expressed his support for the transaction, stating, “Having formed CSI nearly six decades ago, I am pleased to support this transaction as it will provide shareholders with immediate cash at a compelling value premium. In addition, I believe that our customers, employees, and communities can rest assured that—based on their history—current management, Centerbridge, and Bridgeport will continue CSI’s legacy.”