Forescout alleges private equity buyer ‘concocted’ reasons to avoid a deal as pandemic intensified

If Advent International still intends to acquire the security vendor Forescout, then the companies’ relationship is getting off to an awkward start. Forescout said Wednesday it had filed a complaint against Advent, a Boston-based private equity firm, for allegedly violating the terms of the acquisition. Advent announced in February it would acquire Forescout for roughly $1.9 billion, only to say on Monday it would not complete the deal by the May 18 deadline. The delay coincides with the ongoing coronavirus pandemic, and a significant increase in the number of deals between security vendors and private equity firms in recent years. Advent blamed a “material adverse effect” for the holdup, a claim that Forescout is disputing. “We have satisfied all conditions to closing under our merger agreement, and a material adverse effect has not occurred,” Theresia Gouw, chair of the Forescout board of directors, said in a statement Wednesday. “The only […]

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