(Updates share price; adds Elliott background, byline)
By Nadia Damouni
NEW YORK, April 11 Business technology maker BMC
Software Inc is expected to receive final takeover bids
on April 22, with potential buyers pared down to two private
equity groups, four people close to the matter said on Thursday.
Shares of BMC rose 1.7 percent to $45.50 on Nasdaq.
Buyout firm Thoma Bravo has joined a bidding group led by
KKR & Co LP and TPG Capital LP, while Bain Capital LLC
and Golden Gate Capital remain teamed up for the auction, the
people added. The private equity firms are finalizing financing
for their respective bids, said the sources, who asked not to be
named because the talks are private.
The Houston, Texas-based software company, which has a $6.5
billion market capitalization, could receive final bids ranging
from the mid- to upper $40s per share, one of the sources said.
BMC, which competes with Oracle Corp, SAP AG
, CA Inc and Compuware Corp, was under
pressure from Paul Singer's activist hedge fund Elliott
Management to sell itself last year.
Elliott Management, which owns a 9.6 percent stake in BMC,
had signed a standstill agreement with BMC last summer that
ended on April 6. The New York-based hedge fund now has the
ability to bid for BMC or nominate directors to its board.
KKR, TPG, Golden Gate, Bain, Thoma Bravo and Elliott
declined to comment. BMC did not respond to requests for
(Reporting by Nadia Damouni; additional reporting by Soyoung
Kim and Greg Roumeliotis; Editing by Gerald E. McCormick and