(CBS/AP) – Sacramento Kings owner and Tibco chairman Vivek Ranadive has agreed to sell Tibco Software to Vista Equity Partners for $$3.98 billion, pending shareholder approval.

The deal, which is expected to close in the fourth quarter, will take Tibco private.

“As a private company, Tibco will have added flexibility to serve our customers and execute on our long-term strategy,” said Ranadive. “We are excited to work with our new partners at Vista and enter our next chapter of growth and industry leadership.

Vista Equity will pay $24 for each share of Tibco, a 23 percent premium of the company’s closing price of $19.51 on Friday. When debt is included, the two companies value the deal at about $4.3 billion.

Tibco announced earlier this month that its board was considering strategic and financial alternatives for the company. The board decided to sell the company because it was the “best way to maximize value for our shareholders,” said David West, a member of Tibco’s board, in a statement.

Shares of Tibco soared $4.07, or 20.9 percent, to $23.58 in morning trading. Its shares had been down 13 percent so far this year as of Friday.

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