KnowBe4, Inc. (NASDAQ: KNBE) inches down in pre trading session on Thursday as shares surged over 12.63% in previous session after the firm announced that it has agreed to be purchased by Vista Equity Partners in an all-cash deal valued at approximately $4.6 billion in equity value.
KnowBe4 investors will receive $24.90 per share in cash upon completion of the proposed deal, according to the terms of the merger agreement. The purchase price is a 44 percent premium to the Company’s unaffected closing price on September 16, 2022, the last full trading day before Vista officially published its initial non-binding takeover bid on its Schedule 13-D. An independent Special Committee of KnowBe4’s Board of Directors was created to study this proposal and other possible wealth creation possibilities, as stated by KnowBe4 in a news release dated September 19, 2022.
KnowBe4’s creator, Chairman, and Chief Executive Officer, Stu Sjouwerman stated that this news demonstrates the effectiveness of their approach as well as the strength of their outstanding team. This Vista purchase is the next step in their journey. KnowBe4 has a proven track record of success, as shown by their market-leading platform and worldwide clientele. They will have access to extra resources and assistance under Vista’s ownership, which will help us achieve their goals and provide greater value to their consumers. They look forward to working with Vista’s team to continue helping organizations throughout the world to enhance their human firewalls and make wiser security decisions on a daily basis.
As a trusted partner to enterprise software firms worldwide, they make it a point to invest in organizations that make a difference and have a track record of success, commented by Michael Fosnaugh, Co-Head of Vista’s Flagship Fund and Senior Managing Director. He added, “We are excited to use our deep knowledge of the business to assist Stu and his skilled and seasoned team in addressing the human element of cybersecurity.”
Managing Director at Vista, Rod Aliabadi articulated that as a substantial investment in KnowBe4, they couldn’t be more delighted to embark on this new chapter together. They have long admired KnowBe4’s efforts to bolster the human layer of cybersecurity by teaching staff on how to recognize social engineering and associated cyber risks.