Thoma Bravo Acquires Dayforce in $12.3bn Deal Amid Growing AI Transformation in Human Capital Management

Private equity firm Thoma Bravo, headquartered in Chicago with a focus on software investments, has agreed to acquire Dayforce in an all-cash transaction valued at $12.3 billion. This deal signifies the increasing interest of investors in human capital management technology as artificial intelligence begins to revolutionize workplace operations.

Dayforce, listed on both the New York Stock Exchange and Toronto Stock Exchange, develops cloud-based software designed to streamline payroll management, workforce scheduling, and employee benefits for businesses worldwide. Its integrated platform also handles global payroll processing and employee performance tracking.

In accordance with the agreement, Dayforce shareholders will receive $70.00 in cash per share. This offer represents a 32% premium over the company’s closing price on August 15—the trading day before media speculation about a potential transaction emerged.

The Abu Dhabi Investment Authority (ADIA), the United Arab Emirates’ sovereign wealth fund, will make a substantial minority investment in the transaction through one of its subsidiaries. ADIA manages hundreds of billions of dollars and is known for co-investing in technology deals with private equity firms.

The acquisition takes place as human capital management software undergoes disruption from advancing AI technologies.