Thoma Bravo hands Medallia to lenders in one of private equity’s biggest losses

Live updates

1. 1h ago

   Blackstone-Led Lenders Seize Control of Medallia

   A lender group consisting of Blackstone, Apollo, and FS KKR has taken control of Medallia from Thoma Bravo. This transition wipes out Thoma Bravo's equity stake in the software firm. The new owners are providing $150 million in capital to support an AI push and reduce debt.

   What's confirmed:

   • Blackstone, Apollo, and FS KKR Capital are taking control of Medallia.
   • The lender group is injecting $150 million of new capital into the company.
   • Thoma Bravo's equity stake in Medallia, valued at $5 billion, has been erased.

   Still unconfirmed:

   • The Medallia loss indicates that private equity's software bet has failed.
   confidence 100%
2. 2d ago

   Thoma Bravo Records $5 Billion Loss as Lenders Take Medallia

   Thoma Bravo has handed control of Medallia to a lender group led by Blackstone, Apollo, and FS KKR. The transition follows a massive equity wipeout resulting from a 2021 buyout. A $150 million capital injection will stabilize the company's balance sheet.

   What's confirmed:

   • A consortium led by Blackstone, Apollo, and FS KKR has taken control of Medallia.
   • Thoma Bravo suffered a $5 billion equity wipeout on its Medallia investment.
   • The deal includes $150 million in new capital to stabilize the balance sheet.

   Still unconfirmed:

   • Thoma Bravo acquired Medallia for $6.4 billion in 2021.
   • This loss is the largest setback for private equity since 2008.
   • The wipeout totals $5.1 billion.
   confidence 90%
3. 5d ago

   Thoma Bravo Cedes Medallia Control in Multi-Billion Dollar Loss

   Thoma Bravo has transferred Medallia to a consortium led by Blackstone, Apollo, and FS KKR. The deal involves a $150 million capital injection to stabilize the balance sheet. This transition follows a massive equity wipeout for the private equity firm.

   What's confirmed:

   • A consortium led by Blackstone has taken control of Medallia from Thoma Bravo.
   • Thoma Bravo has ceded control of Medallia to its lenders.

   Still unconfirmed:

   • The equity wipeout for Thoma Bravo totaled $5.1 billion.
   confidence 80%
4. 5d ago

   Thoma Bravo surrenders Medallia to lender consortium

   Thoma Bravo has transferred control of Medallia to a group led by Blackstone, Apollo, and FS KKR. The restructuring includes a $150 million capital injection to improve the company balance sheet. This move follows significant financial pressure on software loans.

   What's confirmed:

   • A consortium led by Blackstone, Apollo, and FS KKR has taken control of Medallia from Thoma Bravo.
   • The agreement provides $150 million of new capital to Medallia.
   • The ownership transition is part of a private credit restructuring.

   Still unconfirmed:

   • The transaction represents a $5.1 billion equity loss for Thoma Bravo.
   • Medallia will pivot to AI-driven innovation.
   confidence 90%
5. 6d ago

   Thoma Bravo’s $5.1B Medallia loss hands firm to lenders in PE’s biggest wipeouts

   Thoma Bravo has surrendered Medallia to its lenders, crystallizing a $5.1 billion equity loss on its 2021 acquisition. A consortium led by Blackstone, Apollo, and FS KKR now controls the company after injecting $150 million in new capital and slashing debt. Medallia will pivot to AI-driven innovation under new ownership, though its future profitability remains uncertain.

   What's confirmed:

   • Thoma Bravo has handed Medallia to its lenders, resulting in a $5.1 billion equity loss on its 2021 acquisition of the company.
   • A group led by Blackstone, Apollo, and FS KKR Capital Corp. has taken control of Medallia, injecting $150 million in new capital and significantly reducing its outstanding debt.
   • The recapitalization deal officially closes one of private equity’s most expensive and largest software investment losses.
   • Medallia will use the new capital to accelerate AI-driven innovation, including generative AI and automation, as part of its existing $500 million commitment to transformation.
   • Ownership of Medallia has transitioned from Thoma Bravo to the lender consortium, marking a rare instance of a private equity firm losing full control of a portfolio company.

   Still unconfirmed:

   • Thoma Bravo’s Medallia loss may be the second-largest in private equity history, though exact rankings are not universally confirmed.
   • Medallia’s chatbot offerings for automating customer service queries are central to its post-recapitalization strategy, but no new product details have been officially released.
   confidence 98%