NEW YORK (TheStreet) -- Event management firm Active Network (ACTV) on Monday, Sept. 30, agreed to be acquired by private equity firm Vista Equity Partners in a deal that values the company at about $1.05 billion.
Terms of the deal call for holders of San Diego-based Active to receive $14.50 per share in cash, a premium of 27% to the stock's $11.40 Friday close. The company said that the deal offers a premium of about 111% to Active's year to date average closing stock price.
At the start of the year, Active shares traded at $4.91 apiece.
Active runs a technology platform that helps manage online registrations for marathons and other events. The company boasts 55,000 customers worldwide and generated EBITDA of $13.19 million on sales of $441.26 million during the twelve months ending June 30.The company on Aug. 1 said it had retained Citigroup to help it explore options after receiving an expression of interest from an outside party. Company interim CEO Jon Belmonte called the deal "a very positive event for our stockholders" and said it should position Active for future growth. "We believe the partnership with Vista will position us to execute on our strategy and further enhance our industry leadership," Belmonte said. Vista founder and CEO Robert F. Smith in a statement praised Active's leadership position, saying "we are looking forward to working with the Active team and continuing to drive the next phase of Active's growth." Citi's Ethan Zweig advised Active, along with a DLA Piper (US) team including Mark Kagnoff, David Clark and Dan Eisner. Vista was advised by Bank of America Merrill Lynch and David Breach, Sarkis Jebejian, Richard Brand,Noah Boyens and Kirkland & Ellis. BofA, RBC Capital Markets and BMO Capital Markets are set to provide debt financing in connection with the transaction. --Written by Lou Whiteman in New York
Select the service that is right for you!COMPARE ALL SERVICES
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV