Stock Market Today, Dec. 22: Clearwater Analytics Surges on $8.4 Billion Take-Private Deal

Published: Monday, December 22, 2025 at 10:34 pm

Clearwater Analytics Soars on Take-Private Deal

In a significant move for the software sector, Clearwater Analytics experienced a substantial surge in its stock price following the announcement of an $8.4 billion take-private deal. The company, which provides Software-as-a-Service (SaaS) solutions for investment data aggregation, reconciliation, accounting, and reporting, saw its shares close Monday's session at $24.06, an 8.13% increase.

The deal involves a group of private equity firms, led by Permira and Warburg Pincus, acquiring Clearwater Analytics in an all-cash transaction. The company, which went public in 2021, has seen its stock price decline by 5% since its initial public offering. Monday's trading volume was exceptionally high, reaching 91.1 million shares, significantly exceeding the three-month average.

The broader market also saw positive movement. The S&P 500 increased by 0.64%, closing at 6,878, while the Nasdaq Composite rose by 0.52%, reaching 23,429. Within the application software industry, BlackLine, a peer company, also saw gains, rising 0.86% to $58.34.

The Clearwater Analytics board of directors has approved the merger agreement, pending stockholder and regulatory approvals. Under the terms of the deal, shareholders would receive $24.55 per share, slightly higher than the closing price on Monday. However, the deal's progress may face potential hurdles. An investor rights law firm is investigating the fairness of the deal to shareholders, and activist investor actions could also influence the timeline. Investors are now closely monitoring the buyout timeline and the regulatory review process.

BNN's Perspective: The take-private deal for Clearwater Analytics highlights the ongoing interest in the software sector from private equity firms. While the deal offers a premium to current shareholders, the involvement of investor rights firms and potential regulatory scrutiny underscores the complexities of such transactions. Investors should remain cautious and closely follow developments as the deal progresses.

Keywords: Clearwater Analytics, CWAN, stock market, take-private deal, Permira, Warburg Pincus, SaaS, investment data, S&P 500, Nasdaq Composite, BlackLine, M&A, investor rights, regulatory approval, stock price

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