(Reuters) -HR software provider Dayforce said on Thursday it would go private in a $12.3 billion deal with Thoma Bravo, as the buyout firm looks to beef up its software portfolio.

Shares of Dayforce rose 1.4% before the bell. The offer represents a premium of 32.4% based on the stock's closing price on August 15, when the news of deal talks was first reported.

Under the terms of the deal, Dayforce shareholders will receive $70 per share in cash, representing an equity value of $11.18 billion, according to a Reuters calculations.

A wave of deals in the human capital management industry in recent years signal a shift toward AI-driven, single-platform solutions, with acquisitions aimed at consolidating and enhancing the tools offered to clients.

The transaction, which includes a minority investment from a subsidiary of the Abu Dhabi Investment Authority, is expected to close early next year, Dayforce said.

(Reporting by Zaheer Kachwala in Bengaluru)