Event technology organisation Cvent has announced that it has entered into a definitive agreement to be acquired by an affiliate of private equity funds managed by Blackstone in a transaction valued at approximately $4.6bn.
Blackstone has existing interests in other major event businesses, including the NEC Group, Hilton, and AV production company Encore.
Under the terms of the agreement, Cvent stockholders will receive $8.50 per share in cash, representing a premium of 52 percent to the volume weighted average share price over the 90 days prior to January 30, 2023 – the day before media reports of a potential transaction were published.
A wholly owned subsidiary of the Abu Dhabi Investment Authority (ADIA) will be a significant minority investor alongside Blackstone as part of the transaction.
Cvent’s technology solutions powers the entire event management process to maximise the impact of events and has approximately 22,000 customers globally in the corporate, non-profit, higher education and hospitality sectors.
Since being founded in 1999 by Reggie Aggarwal, Cvent has helped manage more than five million events, and lists over 302,000 hotels and venues on the Cvent Supplier Network, an online platform with tools to search, negotiate and contract with hotels and venues for event space.
“We are excited to share this announcement and look forward to our next chapter alongside the Blackstone team,” said Reggie Aggarwal, founder and CEO of Cvent. “As one of the world’s largest private equity firms, Blackstone brings deep expertise in the event and hospitality industry, and with their backing, we plan to continue to invest in our business and deliver the innovative solutions that meet our customers’ needs and power the meetings and events ecosystem.”
David Schwartz, a Senior Managing Director at Blackstone, said: “The continued events and travel recovery is one of Blackstone’s highest-conviction investment themes. Given our extensive experience in the hospitality, events and real estate sectors, we believe Blackstone is well positioned as a growth partner for this exceptional business.”
Martin Brand, Head of North America Private Equity and Global Co-Head of Technology Investing at Blackstone, added: “Cvent is an industry leader and we are excited to partner with their management team to continue the firm’s innovation and deliver world-class technology solutions to customers in the event and hospitality space.”