Virtusa to be sold around $2.0 billion cash deal

Baring Private Equity Asia, a private alternative investment firm, is acquiring Virtusa Corporation (NASDAQ GS: VRTU), a global provider of digital strategy, digital engineering, and IT services and solutions, in an all-cash transaction valued at approximately $2.0 billion.

Virtusa Corp. VRTU, 24.62% announced Thursday a deal to be acquired by Baring Private Equity Asia (BPEA) in a deal valued at $2.0 billion. The digital engineering and information technology company's stock was up 4.8% in premarket trading prior to a trading halt for news. Under terms of the deal, BPEA will pay $51.35 in cash for each Virtusa share, which is 26.8% more than Wednesday's closing price of $40.50. The deal is expected to close in the first half of 2021. Virtusa's stock has dropped 10.7% year to date through Wednesday, while the S&P 500 SPX, -0.14% has gained 5.2%.