ICE Buys Ellie Mae In $11B Cloud Mortgage Deal; Analysts Stay Bullish

Intercontinental Exchange (ICE), the parent company of the New York Stock Exchange (NYSE), has entered into an agreement to buy Ellie Mae, a cloud-based platform provider for the mortgage finance industry, in a deal valued at $11 billion.

ICE (ICE) will acquire Ellie Mae from private equity firm Thoma Bravo, and fund the deal through a combination of cash, representing 84{09c3c849cf64d23af04bfef51e68a1f749678453f0f72e4bb3c75fcb14e04d49} of the transaction value, and newly issued shares of ICE common stock, which will cover 16{09c3c849cf64d23af04bfef51e68a1f749678453f0f72e4bb3c75fcb14e04d49}. The global exchanges operator expects the acquisition to be accretive to adjusted EPS in the first full year of ownership.