Are there any alternative strategic options (e.g., other suitors, strategic partnerships) that MeridianLink could pursue instead of the Centerbridge deal?

Strategic Alternatives for MeridianLink

MeridianLink’s core assets—its cloud‑based loan‑origination platform and a diversified portfolio of banking‑as‑a‑service (BaaS) contracts—make it attractive to both financial‑technology operators and larger, traditional banks looking to accelerate digital transformation. In addition to the $20‑per‑share cash offer from Centerbridge, the company could explore (i) a strategic‑partner transaction with a large fintech (e.g., Fiserv, Jack Henry, or a cloud‑native lender such as SoFi) that would provide a “roll‑up” premium while retaining the business’s operating autonomy; (ii) a private‑equity consortium that could combine MeridianLink with complementary SaaS‑based credit‑risk providers to create a broader, cross‑sell platform—think a partnership between a PE firm and a strategic lender; or (iii) a “partial‑sale” or joint‑venture model with a major bank (e.g., JPMorgan’s Digital Banking unit) that would give MeridianLink a steady pipeline of loan‑originations while still preserving an equity stake for existing shareholders. These alternatives could deliver a higher valuation (often 10–15 % above a pure cash tender) and, crucially, preserve the long‑run growth narrative that the market currently discounts (the stock is trading near its 200‑day SMA, with modest upward momentum but limited upside under a pure cash exit).

Trading Implications

Technically, MLNK is trading just above its 50‑day EMA and has formed a modest bullish flag; the next resistance level sits near $22, while the $17.50–$18 area is a strong support zone. A catalyst such as a competing bid or a strategic‑partnership announcement would likely trigger a breakout above $22, delivering a short‑term rally that could double the current risk‑reward profile (≈‑15 % sentiment is already pricing in deal‑risk). Conversely, the ongoing shareholder‑rights investigation adds downside pressure if the deal stalls or is deemed unfair, which could pull the stock back toward the $15–16 range. Traders should monitor the company’s proxy‑statement filing (expected within 30 days) and any “pre‑bid” disclosures; a confirmed alternative suitor or partnership term sheet would be a bullish trigger, while a prolonged legal review could keep the stock in a consolidation phase. In the near‑term, a small‑to‑medium‑sized position with a stop at $18 (below the support zone) and a profit target near $23 (the next technical ceiling) captures the upside potential while limiting downside risk.