TYSONS CORNER, Va.
Cvent Inc., a cloud-based enterprise event management company, announced that it has entered into a definitive agreement to be acquired by affiliates of Vista Equity Partners (“Vista”), a private equity firm focused on investments in software, data and technology-enabled businesses.
Vista will acquire 100 percent of the outstanding shares of Cvent common stock for a total value of approximately $1.65 billion. Cvent stockholders will receive $36.00 in cash per share, representing a premium of approximately 69 percent over Cvent's closing price on April 15, 2016.
“We are pleased to announce this transaction that provides a significant premium for Cvent stockholders,” said Reggie Aggarwal, founder and CEO of Cvent. “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.”
Cvent will become a privately held company. Cvent’s Board of Directors unanimously approved the deal and recommended that stockholders vote their shares in favor of the transaction.
“Reggie and the Cvent team have built a leading portfolio of products and are positioned for expansion in a large and underpenetrated market,” said Brian Sheth, co-founder and president of Vista. “We are excited to work with the Cvent team to lead the business into this next phase.”
Cvent’s headquarters will remain in Tysons Corner, Va. Closing of the deal is subject to customary closing conditions, including the approval of Cvent stockholders and required regulatory approvals.
The transaction is expected to close in the third calendar quarter of 2016. According to Reuters, Cvent said it would pay a $45.3 million termination fee if the deal did not go through.
Morgan Stanley is serving as financial advisor to Cvent, and Wilson Sonsini Goodrich & Rosati, Professional Corporation is serving as legal advisor to Cvent. Vista’s legal advisor is Kirkland & Ellis LLP.
Vista also owns Lanyon Solutions, Inc., which provides services comparable to Cvent as well as Active Network—another provider of management solutions for event organizers. As of this time, it appears that each of these software providers will remain independent of one another under the Vista umbrella.
