Rackspace, a company that was an early player in the cloud market, is being forced to evolve or continue to be left behind.
The cloud and web-hosting company announced today that it’s being acquired by Apollo Global Management, a U.S.-based private equity firm, and will become a private company. It’s a move analysts say will enable Rackspace to make big changes without worrying about an anxious or angry response from shareholders.
Under the $ 4.3 billion deal, Rackspace stockholders will receive $ 32 per share. The purchase is expected to be finalized in the fourth quarter, according to the company.