OneStream to Go Private in $6.4 Billion Deal with PE Firm Hg
All-cash transaction at $24.00 per share represents a 31% premium for the financial software maker, sending shares soaring toward the offer price.
OneStream, a provider of corporate financial management software, has entered into a definitive agreement to be acquired by European private equity firm Hg in a $6.4 billion all-cash transaction.
The deal will see OneStream shareholders receive $24.00 for each share they hold, a premium of approximately 31% to the company's closing price on January 5. Following the announcement, shares of OneStream (NASDAQ: OS) surged nearly 30% in Tuesday morning trading to close the gap with the offer price, changing hands at $23.59.
According to the official announcement, the transaction will take OneStream private, delisting it from the Nasdaq stock exchange. The move is intended to provide the company with the flexibility and capital to accelerate its growth trajectory and product innovation under private ownership. The deal is expected to close in the first half of 2026, subject to customary closing conditions, including shareholder and regulatory approvals.
OneStream provides a unified Corporate Performance Management (CPM) platform used by finance departments in large organizations for financial consolidation, planning, reporting, and data quality. The company has posted strong top-line performance, with recent data showing year-over-year quarterly revenue growth of 19.5%, though it has yet to achieve profitability.
The acquirer, Hg, is a London-headquartered investment firm with over $75 billion in managed funds, specializing in software and services businesses. The firm has a long track record of investing in B2B technology companies, aiming to support businesses that are driving workplace automation and digital transformation. The acquisition of OneStream fits squarely within this established investment strategy, adding a significant enterprise software asset to its portfolio.
While the 31% premium offers an immediate return for recent investors, the $24.00 per-share offer is below the consensus Wall Street analyst price target of $27.57. Prior to the buyout announcement, the company held strong backing from analysts, with 18 'buy' or 'strong buy' ratings compared to just two 'hold' ratings, indicating a belief in its longer-term public market potential.
The acquisition marks one of the more significant go-private deals in the software sector this year, highlighting a trend of private equity firms deploying their substantial capital reserves to acquire public technology companies whose valuations have become more attractive. Taking companies like OneStream private allows for long-term strategic adjustments and investments without the pressure of quarterly earnings reports.
Once the transaction is complete, OneStream will operate as a privately held company under Hg's ownership, which is expected to support its expansion and further development of its financial platform.