Auction heats up for Deltek
By
Nick Wakeman
At least two private equity firms have made bids to acquire Deltek, but more could be on the way.
Private equity groups are apparently at the front of the line in the bidding war for Deltek Inc.
Reuters is reporting that Hellman & Friedman LLC and Bain Capital have made offers for Deltek, and are moving into the due diligence phase of the acquisition.
The company also might be considering a second round of bids, according to Reuters. No timetable has been set, but more bids could come in the next few weeks.
The company has declined to comment on a potential sale, which first was reported by the Wall Street Journal in July.
Deltek reportedly has hired Greenhill & Co. and Credit Suisse Group to manage the auction.
The company’s stock is up, both on the rumors of the sale and as a result of its second quarter earnings that showed that Deltek has returned to profitability in 2012, after reporting a loss for 2011.
Deltek’s stock closed at $13.55 on Aug. 8. Reuters estimates the company’s market capitalization at $930.5 million.
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