Thoma Bravo to buy human resources software provider Dayforce

With the aim to help expand on the company's AI capabilities, private equity firm Thoma Bravo has agreed to buy human resources software provider Dayforce for $12.3 billion, including debt, in a take-private deal.

David Ossip, the CEO of Dayforce, while elaborating on the deal's benefits explained that the company operates on a single data platform and uses artificial intelligence to help companies forecast matters such as labor demand or predict employee burnout.

"Going private gives us more space, flexibility and resources to go much deeper on what matters the most, which is accelerating our focus on being that AI leader in HCM," Ossip said, referring to the practice known as human capital management.

Under terms of the deal, Dayforce shareholders will receive $70 per share in cash, representing an equity value of $11.18 billion, according to Reuters' calculations. The offer represents a premium of 32.4% based on the stock's closing price on August 15, when news of the deal talks was first reported.

Thoma Bravo has known Ossip, also Dayforce's founder, since before 2012, when his software company Dayforce was acquired by a larger HR and payroll provider, Ceridian.

Tara Gadgil, partner at Thoma Bravo, told Reuters that Thoma Bravo had followed Dayforce's journey into the public markets, periodically keeping its tabs on the business.