Private equity firm GTCR Valor Merger Sub Inc. has purchased Vocus Inc. for a reported $447 million, according to Reuters.
The Belsville, Maryland-based company, known for its cloud-based software for public relations and marketing, saw its shares rise 47 percent to $17.92 shortly after the deal was announced, making the stock the top percentage gainer on the NASDAQ.
GTCR will reportedly offer $18 per Vocus share, a premium of 48 percent to the stock's close on Friday.
The company recently decided to focus on mid-sized companies instead of small businesses, but is still having a hard time selling its software to newer target clients, who are looking for "more sophisticated products," according to Robert W. Baird & Co analyst Steve Ashley.
Vocus has not posted a full-year profit since 2008, according to Reuters.
GTCR Valor Merger Sub owns online press release service PRWeb, email marketing company iContact, and social media company North Social, among others.
Vocus was looking to sell itself for a least over a month.
"We think it makes sense (for Vocus) to sort out its operational and strategic issues as a private company, rather than playing it out in the public realm," Barrington Research Associates analyst Jeff Houston said, according to Reuters.
GTCR will also purchase Vocus's Series A convertible preferred stock. That deal is worth approximately $77.3 million, according to Reuters.
A deal is expected to close in the second quarter of 2014.
A termination fee of $13 million is also included in the deal.
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