Blackstone and ADIA to Acquire Event Software Business Cvent

Posted on 03/15/2023

An affiliate of private equity funds managed by Blackstone Inc. and a wholly owned subsidiary of the Abu Dhabi Investment Authority (ADIA) agreed to take private industry meetings, events, and hospitality technology provider Cvent Holding Corp. (Cvent) (Nasdaq: CVT) in a transaction valued at an enterprise value of approximately US$ 4.6 billion.

Cvent has approximately 22,000 customers globally in the corporate, non-profit, higher education and hospitality sectors as of December 31, 2022. Cvent’s financial performance was hammered during the COVID-19 lockdowns, as live events were cancelled in many industries and verticals.

Under the terms of the agreement, Cvent stockholders will receive US$ 8.50 per share in cash, representing a premium of 52% to the volume weighted average share price over the 90 days prior to January 30, 2023 – the day before media reports of a potential transaction were published. In connection with the transaction, Vista Equity Partners and majority stockholder of Cvent, has agreed to invest a portion of its proceeds as non-convertible preferred stock in financing for the transaction. Following the recommendation of a special committee composed entirely of independent and disinterested directors, the Cvent Board of Directors unanimously approved the merger agreement. The transaction is expected to close mid-year 2023, subject to the satisfaction of customary closing conditions, including receipt of approval by Cvent’s stockholders and required regulatory approvals. Upon completion of the transaction, Cvent’s common stock will no longer be publicly listed, and Cvent will become a privately held company.

Blackstone has received a fully committed US$ 1.0 billion credit facility as part of the financing of this transaction.

Qatalyst Partners is acting as financial advisor to Cvent, and Kirkland & Ellis LLP is acting as legal counsel to Cvent.

J.P. Morgan Securities LLC is acting as financial advisor to the Special Committee, and Goodwin Procter LLP is acting as legal counsel to the Special Committee.

Simpson Thacher & Bartlett LLP is acting as legal counsel to Blackstone, and Evercore, Morgan Stanley & Co. LLC and UBS are acting as financial advisors to Blackstone.

Cvent History
Cvent last went public on the New York Stock Exchange on August 9, 2013. In 2016, listed company Cvent, Inc. was acquired by Vista Equity Partners for US$ 1.65 billion. In 2021, Cvent merged with Dragoneer Growth Opportunities Corp. II in a SPAC deal to go public.

Keywords: Blackstone Group LP.

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