Sizmek, an open ad management company that delivers omnichannel campaigns, is to be acquired by affiliates of Vector Capital, a technology-focused private equity firm, for USD3.90 per share in an all-cash tender offer.
Vector Capital, founded in 1997, is a San Francisco-based private equity firm that partners with management teams to transform and grow technology businesses. Over its history, Vector has invested USD1.6 billion in more than 40 technology companies, including in the advertising technology space.
“We believe this transaction provides Sizmek with the resources and flexibility to execute upon our long term strategy of becoming the leading independent, global ad management platform,” says Neil Nguyen, President and Chief Executive Officer of Sizmek. “We are excited to partner with Vector and believe this transaction benefits our customers, employees, partners and shareholders.”
“We are enthusiastic to partner with the management team and the talented group of employees at Sizmek,” says Alex Beregovsky, Managing Director at Vector Capital. “We plan to invest in the Company’s growth, to further strengthen its industry-leading open ad management platform, to launch adjacent product offerings as well as to support Sizmek with capital for acquisitions.”
Under the terms of the Vector Agreement, Vector will commence a tender offer to purchase any and all of the outstanding shares of Sizmek common stock for USD3.90 per share in cash. The purchase price represents a 65 per cent premium to Sizmek’s 30-day volume weighted average trading price of USD2.36 on 2 August, 2016. Upon completion of the transaction, Sizmek will become a privately-held company
