TYSONS, Virginia—Cvent Holding Corp. introduced that it has entered right into a definitive settlement to be acquired by an affiliate of personal fairness funds managed by Blackstone in a transaction valued at an enterprise worth of roughly $4.6 billion.
Underneath the phrases of the settlement, Cvent stockholders will obtain $8.50 per share in money, representing a premium of 52 % to the volume-weighted common share value over the 90 days previous to January 30, 2023. A completely owned subsidiary of the Abu Dhabi Funding Authority (ADIA) will likely be a minority investor alongside Blackstone as a part of the transaction.
Cvent’s suite of know-how options powers the administration course of to maximise the affect of occasions. Cvent has roughly 22,000 clients globally within the company, non-profit, increased schooling, and hospitality sectors as of December 31, 2022. Since its founding in 1999, Cvent has helped handle greater than 5 million occasions and lists over 302,000 resorts and venues as of December 31, 2022, on the Cvent Provider Community.
“We’re excited to share this announcement and stay up for our subsequent chapter alongside the Blackstone crew,” mentioned Reggie Aggarwal, founder and CEO of Cvent. “As one of many world’s largest non-public fairness companies, Blackstone brings deep experience within the occasion and hospitality trade, and with their backing, we plan to proceed to spend money on our enterprise and ship the revolutionary options that meet our clients’ wants and energy the conferences and occasions ecosystem.”
David Schwartz, a senior managing director at Blackstone, mentioned, “The continued occasions and journey restoration is one among Blackstone’s highest-conviction funding themes. Given our in depth expertise within the hospitality, occasions, and actual property sectors, we imagine Blackstone is nicely positioned as a progress associate for this distinctive enterprise.”
Martin Model, head of North America non-public fairness and international co-head of know-how investing at Blackstone, added, “Cvent is an trade chief and we’re excited to associate with their administration crew to proceed the agency’s innovation and ship world-class know-how options to clients within the occasion and hospitality house.”
In reference to the transaction, Vista Fairness Companions, a majority stockholder of Cvent, has agreed to speculate a portion of its proceeds as non-convertible most well-liked inventory in financing for the transaction.
“Since Vista first invested, Cvent has undertaken appreciable enterprise transformation and has been a testomony to how we associate with founders like Reggie to assist their companies scale and thrive,” mentioned Monti Saroya, chairman of the Cvent Board of Administrators, co-head of the Vista Flagship Fund, and senior managing director. “The newly digitized occasions panorama, coupled with Cvent’s robust present buyer base and dedication to innovation, has supplied a brand new progress vector in a post-COVID world. We stay up for seeing the corporate proceed to execute on the alternatives forward of it.”
Sure Phrases, Approvals, and Timing
Following the advice of a particular committee composed completely of unbiased and disinterested administrators, the Cvent Board of Administrators unanimously authorised the merger settlement. The transaction is anticipated to shut mid-year 2023, topic to the satisfaction of customary closing situations, together with receipt of approval by Cvent’s stockholders and required regulatory approvals. Upon completion of the transaction, Cvent’s frequent inventory will not be publicly listed, and Cvent will turn into a privately held firm.
Blackstone has obtained a completely dedicated $1.0 billion credit score facility as a part of the financing of this transaction.
Advisors
Qatalyst Companions is performing as monetary advisor to Cvent, and Kirkland & Ellis LLP is performing as authorized counsel to Cvent.
J.P. Morgan Securities LLC is performing as monetary advisor to the Particular Committee, and Goodwin Procter LLP is performing as authorized counsel to the Particular Committee.
Simpson Thacher & Bartlett LLP is performing as authorized counsel to Blackstone, and Evercore, Morgan Stanley & Co. LLC, and UBS are performing as monetary advisors to Blackstone.