Shares of Verint Systems (VRNT) gained 6% on Friday, August 22, after a Bloomberg report suggested the company could be acquired. Private equity firm Thoma Bravo is reportedly offering to buy Verint for $2 billion (including debt), with the deal expected to be announced today. In July, Bloomberg also reported on similar negotiations between the two companies, valuing Verint at $26 per share at the time. VRNT currently has a market capitalization of $1.23 billion.
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The report cited people familiar with the matter but also cautioned that no final decision has been made and the deal could still fall through, or the timing and terms could change. The deal could also face regulatory scrutiny and integration challenges, which are typical in cases like this.
Why Is Verint Systems a Potential Takeover Target?
Verint Systems is a software maker specializing in customer experience automation. The company operates a successful call center and outsourcing business. VRNT stock has lost more than 25% so far in 2025, due to growing concerns that artificial intelligence (AI) could disrupt the business process outsourcing market.
Despite these pressures, Verint beat both sales and earnings expectations in its first-quarter fiscal 2026 results. The company reported a 6% year-over-year growth in annual recurring revenue (ARR), driven by adoption of its AI-powered solutions. For the full fiscal year 2026, Verint expects ARR growth of 8%.
Why Is Thoma Bravo Interested in Buying Verint?
Thoma Bravo, known for acquiring undervalued enterprise software platforms with recurring revenue potential, typically seeks to enhance value through operational efficiencies and innovation. In Verint’s case, the private equity firm could help accelerate the shift to cloud-native and AI-powered solutions while streamlining expenses.
Verint has already shown consistent growth in its Software-as-a-Service (SaaS) annual recurring revenue, according to Main Street Data. This momentum is being fueled by stronger AI-driven outcomes and record SaaS ACV (annual contract value) bookings.
Is Verint a Good Stock to Buy?
On TipRanks, VRNT stock has a Moderate Buy consensus rating based on five Buys and two Hold ratings. The average Verint Systems price target of $29.71 implies 45.1% upside potential from current levels.
