Vista Equity Partners to Acquire Cvent, Inc. for $1.65B

Affiliates of Vista Equity Partners, a leading private equity firm focused on investments in software, data and technology-enabled businesses is all set to acquire Cvent Inc. and entered into a definitive agreement with the later for acquiring.

Substantial value to Cvent stockholders is provided by terms of this all-cash deal. For a total value of approximately $1.65 billion, Vista will acquire 100 percent of the outstanding shares of Cvent common stock. Noting a 70 percent premium to Cvent’s average closing price over the past 30 trading days and representing a premium of approximately 69 percent over Cvent’s closing price on April 15, 2016, Cvent stockholders will receive $36.00 in cash per share.

“We are pleased to announce this transaction that provides a significant premium for Cvent stockholders. This milestone is the next chapter in our 17-year history. With Vista’s financial strength to invest in Cvent now and in the future, we will be better positioned to deliver innovative solutions that transform the meetings and events industry, and to offer employees new opportunities for career growth,” said Reggie Aggarwal, founder and CEO of Cvent.

“Reggie and the Cvent team have built a leading portfolio of products and are positioned for expansion in a large and underpenetrated market. We are excited to work with the Cvent team to lead the business into this next phase. Over the last several years, Vista has developed a leading portfolio of meeting technology providers. This acquisition is our most significant investment in this space, and further solidifies our commitment to the broader industry,” said Brian Sheth, co-founder and President of Vista.

Cvent will become a privately held company. While recommending that stockholders vote their shares in favor of the transaction, Cvent’s Board of Directors unanimously approved the deal. Cvent’s headquarters will remain in Tysons Corner, VA.

The deal would be able to be closed only after customary closing conditions that include the approval of Cvent stockholders and required regulatory approvals. The transaction is expected to close in the third calendar quarter of 2016.

While Wilson Sonsini Goodrich & Rosati, Professional Corporation is serving as legal advisor to Cvent, Morgan Stanley is serving as financial advisor to Cvent. Vista’s legal advisor is Kirkland & Ellis LLP.

(Adapted from streetinsider.com)

 

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Categories: Strategy

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