Olo announced Thursday that it will be acquired by software investment firm Thoma Bravo for $2 billion.
The transaction—which will close by the end of 2025 and take Olo private—should “help accelerate Olo’s growth and strengthen its platform and offerings,” according to a news release.
“Over the last twenty years, we’ve built Olo into the market leader in digital ordering for restaurants, while also expanding into payments and guest engagement to help restaurant brands aggregate and activate guest data to drive profitable traffic,” Noah Glass, Olo’s founder and CEO, said in a statement. “By partnering with Thoma Bravo, we believe we can build on our success to date and accelerate our vision of helping our customers create a world where every restaurant guest feels like a regular.”
Glass founded Olo in 2005 and brought the company public in 2021. Over two decades, the firm has become a leading restaurant tech provider for digital ordering, payments, and guest solutions to help increase orders, streamline operations, and improve the customer experience. The company partners with over 750 restaurant companies and 88,000 locations and has a network of 400-plus integration partners. Olo’s platforms process millions of transactions per day.
Under the terms, Olo shareholders will receive $10.25 per share in cash. This price point represents a 65 percent premium over Olo’s share price of $6.20 as of April 30, the last trading day before media reports regarding a potential transaction.
In Q1, Olo’s total revenue increased 21 percent to $80.7 million. Gross profit rose 19 percent to $44.3 million.
“It’s been amazing to watch the growth and evolution of Olo over the years. Noah’s vision and tenacity have created the leader in digital ordering, empowering restaurants to better and more efficiently serve their customers,” Brandon Gardner, Olo’s chair of the board, said in a statement. “The company’s strong market position has allowed us to achieve a significant premium through this transaction, and the Board unanimously believes that this is in the best interest of our shareholders.”
Thoma Bravo is one of the largest software-focused investors in the world with roughly $184 billion assets under management as of March 31. The firm invests in “growth-oriented, innovative companies operating in the software and technology sectors.” Over 20-plus years, Thoma Bravo has acquired or invested in about 535 companies representing $275 billion in enterprise value. It has offices in Chicago, Dallas, London, Miami, New York and San Francisco.
“Noah is a visionary who helped create the digital ordering category for restaurants, and Olo’s platform has earned the trust of many of the world’s most iconic restaurant brands,” Peter Hernandez, a senior vice president at Thoma Bravo, said in a statement. “We see tremendous potential ahead and are incredibly excited to work with Noah and his team on strategic and operational initiatives to help Olo accelerate growth and strengthen their position as an essential partner to restaurants everywhere.”
