UserTesting, Inc., a leader in video-based human insight, today
announced the completion of its acquisition by Thoma Bravo, a
leading software investment firm, and Sunstone Partners, in an
all-cash transaction valued at approximately $1.3 billion. The
agreement to be acquired was previously announced on October 27,
2022 and approved by UserTesting stockholders at the Special
Meeting of Stockholders held on January 10, 2023.
With the completion of the transaction, UserTesting stockholders
are entitled to receive $7.50 per share in cash for each share of
UserTesting common stock they owned. UserTesting’s common stock has
ceased trading and will be delisted from the New York Stock
Exchange.
As previously announced, UserTesting will be combining with
UserZoom, which Thoma Bravo acquired majority control of in April
2022. UserTesting’s CEO, Andy MacMillan, will lead the combined
company.
Advisors
Morgan Stanley & Co. LLC served as exclusive financial
advisor and Fenwick & West LLP served as legal counsel to
UserTesting. Kirkland & Ellis LLP served as legal counsel to
Thoma Bravo and Goodwin Procter LLP served as legal counsel to
Sunstone Partners. Jefferies LLC served as financial advisor to
Thoma Bravo and Sunstone.
About UserTesting
UserTesting has fundamentally changed the way organizations get
insights from customers with fast, opt-in feedback and experience
capture technology. The UserTesting® Human Insight Platform taps
into our global network of real people and generates video-based
recorded experiences, so anyone in an organization can directly ask
questions, hear what users say, see what they mean, and understand
what it’s actually like to be a customer. Unlike approaches that
track user behavior then try to infer what that behavior means,
UserTesting reduces guesswork and brings customer experience data
to life with human insight. UserTesting has more than 2,500
customers, including more than half of the world’s top 100 most
valuable brands according to Forbes. UserTesting is headquartered
in San Francisco, California. To learn more, visit
www.usertesting.com.
About Thoma Bravo
Thoma Bravo is one of the largest software investors in the
world, with more than $120 billion in assets under management as of
September 30, 2022. Through its private equity, growth equity and
credit strategies, the firm invests in growth-oriented, innovative
companies operating in the software and technology sectors.
Leveraging Thoma Bravo’s deep sector expertise and strategic and
operational capabilities, the firm collaborates with its portfolio
companies to implement operating best practices and drive growth
initiatives. Over the past 20 years, the firm has acquired or
invested in more than 420 companies representing over $235 billion
in enterprise value.1 The firm has offices in Chicago, London,
Miami and San Francisco. For more information, visit Thoma Bravo’s
website at thomabravo.com and Twitter @ThomaBravo.
1 Includes control and non-control investments.
About Sunstone Partners
Sunstone Partners is a growth-oriented private equity firm that
makes majority and minority investments in technology-enabled
services and software businesses. Sunstone Partners first invested
in UserZoom in 2016 and remains a significant minority owner.
Founded in 2015, the firm has over $1.7 billion committed to its
three funds. Sunstone Partners has been recognized as one of Inc.
magazine’s “Founder-Friendly Investors” in 2020, 2021, and 2022.
For more information, visit www.sunstonepartners.com.
Forward-Looking Statements
This press release contains “forward-looking statements” within
the meaning of the federal securities laws, including Section 27A
of the Securities Act of 1933, as amended, and Section 21E of the
Securities Exchange Act of 1934, as amended. These forward-looking
statements are based on UserTesting’s current expectations,
estimates and projections about the potential benefits of the
transaction, its business and industry, management’s beliefs and
certain assumptions made by UserTesting, Thoma Bravo and Sunstone
Partners, all of which are subject to change. In this context,
forward-looking statements often address expected future business
and financial performance and financial condition, and often
contain words such as “expect,” “anticipate,” “intend,” “plan,”
“believe,” “could,” “seek,” “see,” “will,” “may,” “would,” “might,”
“potentially,” “estimate,” “continue,” “expect,” “target,” similar
expressions or the negatives of these words or other comparable
terminology that convey uncertainty of future events or outcomes.
All forward-looking statements by their nature address matters that
involve risks and uncertainties, many of which are beyond
UserTesting’s control, and are not guarantees of future results,
such as statements about the anticipated benefits of the
transaction. These and other forward-looking statements are not
guarantees of future results and are subject to risks,
uncertainties and assumptions that could cause actual results to
differ materially from those expressed in any forward-looking
statements. Accordingly, there are or will be important factors
that could cause actual results to differ materially from those
indicated in such statements and, therefore, you should not place
undue reliance on any such statements and caution must be exercised
in relying on forward-looking statements. Important risk factors
that may cause such a difference include, but are not limited to:
(i) the effects of geopolitical, economic and market conditions,
including heightened inflation, slower growth or recession, changes
to fiscal and monetary policy, higher interest rates, currency
fluctuations, the impact of the COVID-19 pandemic, challenges in
the supply chain and any disruptions in European economies as a
result of the conflict in Ukraine on UserTesting’s business; (ii)
UserTesting’s ability to implement its business strategy; (iii)
potential litigation relating to the transaction; (iv) the risk
that disruptions from the transaction will harm UserTesting’s
business, including current plans and operations; (v) attraction
and retention of qualified employees; (vi) potential adverse
reactions or changes to business relationships resulting from the
transaction; (vii) UserTesting’s ability to stay in compliance with
laws and regulations that currently apply or become applicable to
UserTesting’s business both in the United States and
internationally; and (viii) unpredictability and severity of
catastrophic events, including, but not limited to, acts of
terrorism or outbreak of war or hostilities, as well as
UserTesting’s response to any of the aforementioned factors. These
risks, as well as other risks associated with the transaction, are
more fully discussed in the definitive proxy statement filed with
the Securities and Exchange Commission in connection with the
transaction. While the list of factors presented here is, and the
list of factors presented in the definitive proxy statement are
considered representative, no such list should be considered to be
a complete statement of all potential risks and uncertainties.
Unlisted factors may present significant additional obstacles to
the realization of forward-looking statements. Consequences of
material differences in results as compared with those anticipated
in the forward-looking statements could include, among other
things, business disruption, operational problems, financial loss,
legal liability to third parties and similar risks, any of which
could have a material adverse effect on UserTesting’s financial
condition, results of operations or liquidity. UserTesting does not
assume any obligation to publicly provide revisions or updates to
any forward-looking statements, whether as a result of new
information, future developments or otherwise, should circumstances
change, except as otherwise required by securities and other
applicable laws.
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version on businesswire.com: https://www.businesswire.com/news/home/20230111005855/en/
For UserTesting
Investor Relations Contact:
UserTesting, Inc. ir@usertesting.com
Media Contact:
UserTesting, Inc. press@usertesting.com
Or
FGS Global John Christiansen / Danya Al-Qattan
john.christiansen@fgsglobal.com / danya.al-qattan@fgsglobal.com
For Thoma Bravo
Thoma Bravo Communications Megan Frank (212) 731-4778
mfrank@thomabravo.com
Or
FGS Global Liz Micci / Nicky Bryan liz.micci@fgsglobal.com /
nicky.bryan@fgsglobal.com (347) 675-2883 / (646) 436-6126
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