UPDATE 1-Privately held RedPrairie to buy JDA Software for $1.9 bln
(Adds details, background, share movement)
Nov 1 (Reuters) - JDA Software Group Inc, which makes supply-chain-management software, agreed to be bought by privately held peer RedPrairie for about $1.94 billion in cash.
The $45 per-share offer represents an 18 percent premium over JDA stock's Wednesday close of $38.15 on the Nasdaq.
Shares of the company rose 18 percent to $44.83 before the bell on Thursday.
"This is a strong combination of two leading companies with highly complementary product suites," JDA's Chief Executive Hamish Brewer said in a statement.
Reuters reported on Monday, citing sources, that JDA Software was exploring a sale and had hired JPMorgan Chase & Co to advise on the process.
JDA Software provides customized software applications to customers ranging from government and aerospace defense contractors to hospitality and media organizations.
The deal will create a company with combined revenue of over $1 billion and will be led by JDA's Brewer, the companies said.
RedPrairie's CEO, Michael Mayoras, will remain on the board of the combined company.
The transaction, expected to close by the end of 2012, will be funded with a loan from Credit Suisse and additional new cash equity from New Mountain Capital.
Greenhill & Co and Credit Suisse acted as financial advisers to RedPrairie. (Reporting by Supantha Mukherjee and Sayantani Ghosh in Bangalore; Editing by Supriya Kurane)
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