Jefferies' John DiFucci maintains a Buy rating on Apptio with an unchanged $40 price target.
Oppenheimer's Brian Schwartz maintains an Outperform with an unchanged $40 price target.
Jefferies: Fair Deal
Apptio agreed to sell itself to Vista for a 53-percent premium to Friday's closing price, which is a "fair deal" for all sides at $38 per share, DiFucci said in a Monday note.
The price tag on the deal implies a multiple of 10.4 times EV/LTM subscription revenue and 8.6 times EV/NTM, although there is a "slight potential" for a competing bid to be presented, the analyst said.
On Vista's end, the investment firm gains a "strategic asset" that can generate a sustainable organic growth rate in the low-to-mid 20-percent range, DiFucci said. Vista gains exposure to smaller customers with annual revenue of less than $1 billion, along with exposure to a Federal TBM mandate and international expansion, he said.
Oppenheimer: Low Odds Of Competing Bid
The odds are "low" that a competing bidder will emerge, Schwartz said in a note.
The price tag on the deal is inline with the average takeout multiple for the 22 SaaS deals completed since 2016, the analyst said.
The purchase brings Vista a property that complements its existing portfolio in IT business management, which is characterized by low cloud software penetration and a fragmented competitive environment, Schwartz said.
Regulatory concerns are minimal and the deal is expected to close in the first quarter of next year, according to Oppenehimer.
Shares of Apptio were trading higher by more than 50 percent Monday afternoon at $37.62.
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