Thoma Bravo and Sunstone Partners complete acquisition of UserTesting for C$1.7 billion

On January 12, 2023, UserTesting, Inc., a prominent company in video-based human insight, announced the completion of its acquisition by Thoma Bravo, a notable software investment firm, and Sunstone Partners. This acquisition, which was an all-cash transaction, was valued at approximately $1.3 billion. The initial agreement for the acquisition was announced on October 27, 2022, and subsequently received approval from UserTesting stockholders during the Special Meeting of Stockholders held on January 10, 2023.

Following the completion of the transaction, UserTesting's stockholders were entitled to receive $7.50 per share in cash for each share of UserTesting common stock they owned. As a result of the acquisition, UserTesting’s common stock ceased trading and was delisted from the New York Stock Exchange.

In line with previous announcements, UserTesting is set to merge with UserZoom, a company which Thoma Bravo had acquired majority control of in April 2022. Andy MacMillan, CEO of UserTesting, will lead the combined entity.

In terms of advisory roles, Morgan Stanley & Co. LLC acted as the exclusive financial advisor to UserTesting, while Fenwick & West LLP provided legal counsel. Thoma Bravo and Sunstone Partners were legally advised by Kirkland & Ellis LLP and Goodwin Procter LLP, respectively. Additionally, Jefferies LLC served as the financial advisor to both Thoma Bravo and Sunstone Partners.

Deal Type

Merger & Acquisition

Industry

Tech/Computer/IT

Transaction

$ 1,736,800,000

Deal Status

Closed

Closing Date

12 January 2023