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Insight Venture Partners to acquire Diligent for USD4.90 per share in cash

Diligent Corporation, a provider of secure online collaboration and document sharing solutions for boards, committees and leadership teams, is to be acquired by private equity firm Insight Venture Partners.

Under the terms of the agreement, Diligent stockholders will receive USD4.90 (NZD7.391) in cash for each share of Diligent stock, a consideration which values Diligent at approximately USD624 Million (approximately NZD941 Million1), including cash. The Diligent Board of Directors has unanimously approved the transaction and resolved to recommend that stockholders vote in favour of the agreement. The transaction represents a 31 per cent premium over the closing share price of NZD5.64 (USD3.741) on 12 February, 2016.
 
“After a careful review of strategic alternatives, the Diligent Board of Directors determined that the terms offered by Insight represent a transaction that is in the best interest of stockholders,” said David Liptak, Chairman of Diligent. “Diligent went public on the New Zealand Stock Exchange in December 2007 at NZD1.00 (USD0.66). The USD4.90 per share transaction we are proposing to shareholders represents the culmination of nine years of unrelenting effort by the Diligent team to build a world-class company that is the leader in its space. In addition to being a terrific result for all of our stockholders, we believe this transaction will provide Diligent with the financial flexibility to continue executing on its long-term vision, which we believe will benefit both clients and employees.”
 
Brian Stafford, Chief Executive Officer and President of Diligent, says: “This is an exciting day for Diligent. I’m thrilled to partner with Insight, which brings substantial experience supporting the growth of software companies around the world. Our game plan will not change as a private company – to be the leading provider of collaboration software for boards, committees, and leadership teams. Insight will be a great partner to the Diligent team as we continue to help leading organisations around the world collaborate securely.”
 
Stafford and the current senior management team will continue to lead the business after the transaction closes.
 
“We look forward to working with Brian and the rest of the talented team at Diligent to accelerate the Company’s progress in the large and growing communications and collaboration market,” says Deven Parekh, Managing Director at Insight Venture Partners. “Diligent leads the way in collaboration between boards and senior executives with more than 3,500 clients, tremendous innovation and unparalleled service. In addition, the Company’s recent performance in accelerated quarterly bookings, new product launches and its recent acquisition of Thomson Reuters’ BoardLink business demonstrate strong momentum. We intend to support the team as they build on their outstanding record and continue to grow their product offerings and client base around the world.”
 

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