Docusign shares were higher on Friday morning after Reuters reported Thursday that private equity firms Bain Capital and Hellman & Friedman were in a bidding war to acquire the online signature services provider.
Blackstone, initially in talks, is no longer in contention, Reuters reported.
The deal would value DocuSign at approximately $12 billion, which, if it closes, would be one of the significant leveraged buyouts of 2024.
While Bain and Hellman & Friedman haven't partnered, there is a possibility they may collaborate to secure the deal. The outcome is expected in the coming weeks.
DocuSign, which went public in 2018 at a $6 billion valuation, saw a spike in its shares after the news broke. However, analysts note challenges for the company in the post-pandemic era and competition from firms like Adobe.
DocuSign reported improved quarterly earnings and revenue, but its shares have faced a decline since its peak at $310.
Shares of DocuSign had gained around 1.8% in midday Friday trading at $62.46.