FILE PHOTO: U.S. dollar banknotes are displayed in this illustration taken, February 14, 2022. REUTERS/Dado Ruvic/Illustration/File Photo
(Reuters) -Dayforce said that it has received an overwhelmingly positive stockholder vote for a proposed $12.3 billion buyout of the HR software provider by Thoma Bravo, a month after its largest shareholder said it would vote against the deal.
The preliminary results of a special meeting held on Wednesday showed that about 88.4% of votes were in favor of the Thoma Bravo deal.
The software sector has emerged as an investment target due to resilient subscription services and recurring revenue in an economy weighed down by a deteriorating labor market, trade tariffs and erratic spending.
T. Rowe Price Associates, with a 15.7% stake in Dayforce, had in October said it would vote against the transaction, calling the offer "underwhelming" and an attempt to take advantage of "short-term pessimism" in the sector.
Thoma Bravo had agreed to buy Dayforce in August to strengthen its software portfolio as the private equity firm bets on recurring revenue business models to weather an uncertain economic environment.
The deal is expected to close late this year or early 2026. Dayforce shareholders will receive $70 per share in cash, under theterms of the merger.
(Reporting by Juby Babu in Mexico City; Editing by Shailesh Kuber)
