Nonprofit technology rivals Blackbaud and Convio could start operating as one company in as few as eight business days after the U.S. Department of Justice (DoJ) this week closed its antitrust investigation of the merger.
The DoJ notified the two firms on Wednesday that the anti-trust review waiting period was terminated early, according to filings with the Securities and Exchange Commission (SEC) yesterday. The waiting period was set to expire on Monday.
Blackbaud had re-filed its Premerger Notification Report and Form on April 13 as part of requirements of the Hart-Scott-Rodino (HSR) Antitrust Improvements Act of 1976. In SEC documents, the Charleston, S.C.-based firm said it aims to complete a short-form merger by May 7.
“We produced hundreds of thousands of documents, as well as completed several in-person testimonies. While we have been at this for just over three months, these inquiries can easily go on for six months or more,” Blackbaud CEO Marc Chardon said via a written statement.
The tender offer, which had been extended several times since January, expires at midnight on Wednesday. If more than 90 percent of the shares are offered for tender, Blackbaud will be able to complete a short-form merger. If that can be done, Chardon said it’s possible that the two firms will be able to work as one company starting May 7.
About a third of Convio’s nearly 19 million outstanding shares are owned by its board of directors. As of April 17, more than 77 percent of outstanding shares had been tendered.
After discussions throughout the fall, the two publicly-traded firms announced in mid-January that they had agreed to a $275-million acquisition, with Blackbaud paying $16 per share for its Austin, Texas-based competitor.