The deal, led by investment firms Permira and Hellman & Friedman, will give shareholders $77.50 per share, a premium of about 34% over the company’s closing stock price on Thursday, according to the release.
Shares were up about 30% during premarket trading.
The investment firms plan to take Zendesk private once the deal closes. Also included in the investor group is a wholly-owned subsidiary of the Abu Dhabi Investment Authority and GIC.
Zendesk’s board unanimously approved the deal, which it expects to close in the fourth quarter of this year.