Today, we announced Cvent (NYSE: CVT) has agreed to be acquired for $1.65 billion dollars ($36 per share) by Vista Equity Partners, one of the world's largest technology investors. This will be the largest acquisition of a publicly traded software company in Washington, DC history. When events like this happen, people tend to focus on the founders and management team. However, the soul of Cvent – like any great company – is a powerful combination of passionate employees who choose to share the journey, and supportive customers who picked us over the competition because they believed. We couldn’t have gotten here without you. Thank you.
Since inception, our mission has been to transform the meetings and events industry. Vista also has a deep understanding of the meetings industry and has built an impressive portfolio of technology companies. This is why Cvent and Vista are a great fit. Our number one focus has always been to build the best possible products for our customers. This will not change. Our culture has always been to hire the best people and always provide excellent service to our customers. And we will continue to do all that and more. Business as usual.
Many people would call today’s news an “exit.” I don’t. Cvent is simply becoming privately held again as we were for 14 of our 17 year history. I’m even more excited about leading the company into the future. The upside to being privately held is that it allows us to focus on a longer time horizon to innovate and better the meetings industry. So, while this transaction delivered excellent value to our shareholders, we also set the stage for new solutions for our customers and new challenges for our employees.
When a milestone like this occurs, it makes me reflect on my personal entrepreneurial journey from startup in the go-go dotcom days of 1999 . . . to near bankruptcy during the dotcom bust in 2001 . . . to ringing the opening bell at the NYSE for our IPO in 2013 . . . to agreeing to go private again for a 69% premium over our closing stock price last week.
Cvent started as a simple idea in 1999 – an aspirin for the painful process of planning meetings and events. I had learned firsthand how hard the meeting planning process is when hosting dozens of events for local CEOs. I knew then that there had to be a better way. So, I decided in order to save money to fund the company, I moved in with my parents--until I was 33 years old. It was pretty tough on my dating life back then. I connected with likeminded co-founders and we were off and running. Seventeen years later, Cvent has close to 16,000 customers and 2,000 employees around the globe. Last year, our software helped manage more than 340,000 meetings, and hotels around the world received nearly $10 billion in “group business” from our meeting planner customers. And, somewhere along the way, I moved out of my parents’ house, married an amazing woman and have three beautiful kids.
Throughout all the ups and downs over the years, our passion and conviction never wavered. We will be honored to soon be part of the Vista family who share these same ideals. This is our mutual commitment to you: we will remain focused on our highest priorities – our employees and our customers. Both have stood by Cvent during the darkest of times and now, as we are entering the brightest chapter of our story, I know together that we can continue to transform the meetings industry.
Additional Information and Where to Find It
In connection with the transaction, Cvent intends to file relevant materials with the Securities and Exchange Commission (the “SEC”), including a preliminary proxy statement on Schedule 14A. Promptly after filing its definitive proxy statement with the SEC, Cvent will mail the definitive proxy statement and a proxy card to each stockholder entitled to vote at the special meeting relating to the transaction. INVESTORS AND SECURITY HOLDERS OF CVENT ARE URGED TO READ THESE MATERIALS (INCLUDING ANY AMENDMENTS OR SUPPLEMENTS THERETO) AND ANY OTHER RELEVANT DOCUMENTS IN CONNECTION WITH THE TRANSACTION THAT CVENT WILL FILE WITH THE SEC WHEN THEY BECOME AVAILABLE BECAUSE THEY WILL CONTAIN IMPORTANT INFORMATION ABOUT CVENT AND THE TRANSACTION. The definitive proxy statement, the preliminary proxy statement and other relevant materials in connection with the transaction (when they become available), and any other documents filed by Cvent with the SEC, may be obtained free of charge at the SEC’s website (http://www.sec.gov) or at Cvent’s website (http://investors.cvent.com) or by writing to Cvent’s Investor Relations at 1765 Greensboro Station Place, 7th Floor, Tysons Corner, Virginia 22102.
Participants in the Solicitation
Cvent and its directors and executive officers may be deemed to be participants in the solicitation of proxies from Cvent’s stockholders with respect to the transaction. Information about Cvent’s directors and executive officers and their ownership of Cvent’s common stock is set forth in Cvent’s proxy statement on Schedule 14A filed with the SEC on April 10, 2015, and Cvent’s Annual Report on Form 10-K for the fiscal year ended December 31, 2015, which was filed on March 1, 2016. Information regarding the identity of the potential participants, and their direct or indirect interests in the transaction, by security holdings or otherwise, will be set forth in the proxy statement and other materials to be filed with SEC in connection with the transaction.
Legal Notice Regarding Forward-Looking Statements
This press release, and the documents to which Cvent refers you in this communication, contains not only historical information, but also forward-looking statements made pursuant to the safe-harbor provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements represent Cvent’s expectations or beliefs concerning future events, including the timing of the transaction and other information relating to the transaction. Forward-looking statements include information concerning possible or assumed future results of operations of Cvent, the expected completion and timing of the transaction and other information relating to the transaction. Without limiting the foregoing, the words “believes,” “anticipates,” “plans,” “expects,” “intends,” “forecasts,” “should,” “estimates,” “contemplate,” “future,” “goal,” “potential,” “predict,” “project,” “projection,” “may,” “will,” “could,” “should,” “would,” “assuming” and similar expressions are intended to identify forward-looking statements. You should read statements that contain these words carefully. They discuss Cvent’s future expectations or state other forward-looking information and may involve known and unknown risks over which Cvent has no control. Those risks include, (i) the risk that the transaction may not be completed in a timely manner or at all, which may adversely affect Cvent’s business and the price of the common stock of Cvent, (ii) the failure to satisfy of the conditions to the consummation of the transaction, including the adoption of the merger agreement by the stockholders of Cvent and the receipt of certain governmental and regulatory approvals, (iii) the occurrence of any event, change or other circumstance that could give rise to the termination of the merger agreement, (iv) the effect of the announcement or pendency of the transaction on Cvent’s business relationships, operating results and business generally, (v) risks that the proposed transaction disrupts current plans and operations and the potential difficulties in employee retention as a result of the transaction, (vi) risks related to diverting management’s attention from Cvent’s ongoing business operations and (vii) the outcome of any legal proceedings that may be instituted against us related to the merger agreement or the transaction. Forward-looking statements speak only as of the date of this communication or the date of any document incorporated by reference in this document. Except as required by applicable law or regulation, Cvent does not undertake to update these forward-looking statements to reflect future events or circumstances.
Written by Reggie Aggarwal.