Vista Equity inks $3.5 billion deal to acquire Pluralsight
(Reuters) - Private equity firm Vista Equity said on Sunday it is has agreed to acquire Pluralsight Inc in an all-cash deal which values the U.S. learning software company at $3.5 billion.
The deal is at a roughly 25% premium to Pluralsight’s volume -weighted average stock price of the last 30 days, the companies said. It represents a bet on sustained demand for Pluralsight’s software, which enables virtual instructor-led training for employees.
“We have seen firsthand that the demand for skilled software engineers continues to outstrip supply, and we expect this trend to persist as we move into a hybrid online-offline world across all industries and interactions, with business leaders recognizing that technological innovation is critical to business success,” Monti Saroya, co-head of Vista’s flagship Fund and senior managing director, said in a statement.
Reuters had reported that Vista and Pluralsight were nearing a deal earlier on Sunday.
Silicon Slopes, Utah-based Pluralsight sells software to companies through its Skills and Flow product lines, which help offer courses and analytics services.
Pluralsight’s stock is up around 10% so far in 2020, lagging slightly the benchmark S&P 500 Index.
“We are pleased to have reached this agreement with Vista, which delivers significant immediate cash value to our shareholders, and positions Pluralsight to continue meeting and exceeding the expectations of our customers,” said Gary Crittenden, Pluralsight’s lead independent director.
Vista, led by billionaire Robert Smith, has over $73 billion in assets under management, and specializes in investing in enterprise software, data and technology companies.