Boston is losing another public company.
EnerNOC, a Boston-based provider of energy intelligence software, announced it has reached an agreement to be acquired for over $300 million by an Italian multinational energy company.
The company said it reached the deal with an American subsidiary of Enel Group, one of Italy's largest companies. As part of the agreement, Enel will pay $7.67 per share to acquire EnerNOC in an all-cash transaction that values the company at more than $300 million. The deal represents a roughly 42 percent premium over the company's closing stock price of $5.40 per share on Wednesday. The deal is expected to close in the third quarter of 2017, pending customary conditions.
When the deal closes, EnerNOC will join Demandware, EMC and Constant Contact as public tech companies based in Massachusetts that have been acquired over the past few years.
Founded in 2001 by Tim Healy and David Brewster, EnerNOC raised more than $27.3 million in funding from investors before it went public in 2007. The company had priced its initial public offering at $26 per share and it skyrocketed to nearly $50 at the end of 2007 before going plummeting and going through ups and downs for the next few years.
EnerNOC's stock price has been in a general decline since 2014. In the company's earnings report from the first quarter of 2017, it posted $48.1 million in revenue, a 9.9 percent decline from the previous year, and a net loss of $1.08 per share. Last fall, the company cut 15 percent of its 1,400-person workforce, amounting to more than 200 jobs.
"After a comprehensive review of strategic options, during which we evaluated a wide range of paths to maximize shareholder value, we are excited to enter into this agreement with the Enel Group," Healy, EnerNOC's chairman and CEO, said in a statement. "The transaction provides our stockholders with significant and immediate cash value, and unites us with one of the most innovative, global energy companies that shares our vision to change the way the world uses energy."
Enel is a multinational power utility and electricity and gas operator that operates in more than 30 countries across five continents and serves over 65 million business and household customers. Its 2016 revenue was €70.5 billion, according to Enel's 2016 annual report. As of December 2016, the company has 62,080 employees.
