Intercontinental Exchange To Acquire Ellie Mae; Enterprise Value Of Deal At $11 Bln

(RTTNews) - Intercontinental Exchange (ICE) has agreed to acquire Ellie Mae, a cloud-based platform provider for the mortgage finance industry, from Thoma Bravo. Through its Digital Lending Platform, Ellie Mae provides technology services to all participants in the mortgage supply chain. The deal values Ellie Mae at approximately $11 billion. The consideration is in the form of a mix of cash (84% of EV) and newly issued shares of ICE common stock (16%).

Intercontinental Exchange expects the acquisition of Ellie Mae will be accretive to adjusted earnings per share in the first full year of ownership. The transaction is expected to realize run-rate cost synergies of $50 million to $65 million by the end of year three.